Economists surveyed this month by the Wall Street Journal raised their forecasts of how high inflation would go and for how long, compared with their previous expectations in April.
The WSJ survey showed economists surveyed have lifted their forecast for inflation in the last three month period. The respondents detailed on average they now expect to see a widely followed measure of inflation.
Respondents said Americans should “expect a widely followed measure of inflation, which excludes volatile food and energy components, to be up 3.2% in the fourth quarter of 2021 from a year before.” In 2022 and 2023 they forecast the annual rise will slightly lower to 2.3 percent.
On average, the annual increase would be 2.58 percent from 2021 to 2023 hitting levels not been seen since 1993, according to the WSJ.
The Naroff Economics LLC Chief Economist Joel Naroff said, “We’re in a transitional phase right now.” He added, “We are transitioning to