The World Blog by humble servant.

Economic Report: The Persistence of Inflation in 2025 – Roots in COVID-19, Current Trends, Outlook, and Political Implications Executive Summary As of July 2025, inflation remains a persistent challenge in the U.S. economy, particularly affecting groceries and condiments. Rooted in the profound disruptions from COVID-19 shutdowns and lockdowns (2020-2021), these pressures have evolved through supply chain vulnerabilities, compounded by geopolitical tensions, weather events, and recent policy decisions under President Trump's second term. While overall inflation has moderated to around 2.3% annually, food prices continue to rise at 1.6-2%, with condiments facing 3-5% increases due to volatile inputs like oils and spices. This report examines the historical origins, current state, and future outlook, drawing on economic data from sources such as the Federal Reserve, USDA, IMF, OECD, and Morgan Stanley. It also addresses the partisan blame game, where critics attribute ongoing inflati...