EDITORIAL: Ethiopia is in a precarious situation at the moment. It is not mere inflation its economy and society are confronted with.
It is stagflation, where both unemployment and inflation are on the climb simultaneously and with speed. It is not that the economy is overheating (unemployment is low and prices are hitting the roof) or that there is too much money circulating in the economy.
There is also a supply-side shock creating a shortage of goods and services even where demand remains high. Add to that the historical and structural constraints to the economy: low productivity and the absence of competitiveness.
https://addisfortune.news/stagflation-h ... -you-dont/