There has been much talk lately of a return to 1970s economic conditions. In Britain, year-on-year inflation reached 9.1 per cent in May, and disruptive labour strikes are dominating the headlines.

But is a 1970s-style economy really in the offing? Much will depend on what happens with wage settlements and monetary and fiscal policy. And there are, of course, several global forces to consider, including COVID-19, China’s uncertain economic outlook, Russia’s war in Ukraine, and the parlous state of global economic and political governance generally.

Project Syndicate