#5SmartReads - July 15, 2021
On inflation, infrastructure, and justice not being served.
Why cars are driving inflation (Axios)
Are you following The Car Mom? She’s been sounding the alarm on (the lack of) car availability due to the chip shortage. And it turns out these microchips have a big impact on inflation.
We have a chip shortage because of both the pandemic (some chip plants have had to close due to climate disasters, and automakers reduced their orders at the beginning of the pandemic and are only placing more orders now).
The lack of chips has now caused automakers to cut production of cars - a loss of approximately 6.2 million vehicles globally.
One tiny chip can and has a massive impact on the global economic order. And it’s going to be months (maybe even a year) before this market is normalized.