Inflation

War and Industrial Policy

Zoltan Pozsar's August 2022 Credit Suisse note arguing that the collapse of 'Chimerica' and 'Eurussia' trade blocs ends the 'lowflation' era and forces massive industrial rearmament. The core thesis is that de-globalization driven by loss of strategic trust between the US, Russia, and China will require trillions in commodity-intensive investment to re-arm, re-shore, re-stock, and re-wire — structurally inflationary for years.