When trying to explain why the inflation is starting to infect developed markets, after becoming such a big story in the emerging world last year, it’s easy to fall back on names like Bernanke and Trichet.
But this slide from Societe Generale does a pretty good job of explaining just how it works.
Step one, growth rebounds. Step two, people buy more. Step three, prices go up. And step four, commodities prices rise.
Photo: Societe Generale