Written by – Elijah J. Magnier:
It is unknown whether the export agreement on grain and other agricultural products between Russia and Ukraine that Turkey sponsored in July will hold. What are the reasons for its potential failure, suspension or delay? Will Ukraine’s grain stave off world starvation and enhance international food security?
The US is facing an economic recession, despite US President Joe Biden’s attempt to deny this reality to avoid the widespread criticism that is chasing him. The US domestic financial crisis will undoubtedly significantly impact the upcoming mid-term elections next fall for Congress, which will play an essential role in defining who will control the country in the next presidential elections.
New York Mayor Eric Adams said that “America has entered a recession and the ” Wall Street is collapsing… We are in an unimaginable financial crisis.” US Vice President Kamala Harris admitted that “inflation is too high” and “the economy is slowing down”, contradicting US President Joe Biden’s claims. The US GDP has declined while the White House is trying to calm the troubled markets to promote an increase in public income and a decrease in the unemployment rate.
However, American citizens feel the pressure of inflation and the increase in prices which cost households about 500 dollars a month in additional expenses. The value of residential homes has deteriorated, and companies have been unable to abide by their commitments due to the high prices of materials and products that hit the construction market.
In Europe, the signs of inflation and its burden began to affect the daily life of its citizens, who are restless about the increase in energy prices (41.9%), food (8.9%), and the devaluation of their currency. This inflation affected the movement of travellers in the summer and the decline in the number of domestic European tourists amid a great sense of fear of what the fall and winter hold. Western governments warned their residents to prepare for a harsh winter, not because of climate change, but because energy prices will reach an unprecedented level that will affect the movement of vehicles, the industry that relies on gas and the cold winter.
Britain topped the throne of the most considerable inflation in Europe (9.2%), the highest since 1982, and the Conservative government overthrew its Prime Minister Boris Johnson after prices rose to historical levels that increased the burden on the citizen. Fuel prices reached 42 per cent, and food prices increased by 10 per cent, prompting British families to live their darkest days after their income fell to a quarter of what it was since the beginning of this year. According to the central bank’s forecast, inflation could reach 11 to 12 per cent. Millions of British citizens and households with children turned to food banks asking for support. Over 10 million are already struggling to make ends meet. Almost a third (29%) of British confirmed their finances had worsened thanks to the ongoing inflation and the cost-of-living crisis.
The COVIC-19 hit the global economy, causing a recession in more than 44 advanced economies. The most affected of these countries were Turkey, where inflation reached 79 per cent, the highest in 24 years.
The World Food Organisation says that when the COVID-19 epidemic occurred, it raised food prices worldwide and caused famine for 827 million people. These numbers have accumulated throughout the last few years independently of the ongoing war in Ukraine between the US and Russia.
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