- Did the Computer Chip Shortage Affect Inflation?
FRB of St. Louis
The scarcity of semiconductors has triggered production bottlenecks in a wide range of goods, from automobiles to laptops. An Economic Synopses essay explored the relationship between the computer chip shortage and rising costs of goods in the U.S.
In their essay, St. Louis Fed Senior Economist Fernando Leibovici and Research Associate Jason Dunn examined the case of computer chips, noting that semiconductor demand rose along with the pandemic-driven demand for electronics.