The Central Bank of Korea warns that chips are hot or inflation is rising again

On 31 August, according to the Korean Journal of the Seoul Economy, the Central Bank of Korea warned that if the growth in business and household incomes resulting from semiconductor booms were translated into consumption, inflationary pressures could rise again. With the increase in the price of semiconductor exports leading to increased purchasing power, the Central Bank of Korea has determined that once consumption actually starts to accelerate, demand may exceed existing supply capacity. According to the Central Bank, the same demand-side price pressures are one of the reasons behind the recent extraordinary step of successive interest rates. Kim Xian