Author(s)

Ji Qi

Corresponding Author

Ji Qi

ABSTRACT

As the world has been under the covid prevalence for 2 years, countries have escalated and new crises in the disturbed economy. One of the crises which pressure society most significantly is widespread inflation. Even though several factors drive it, comparison between the pandemic control and inflation severity allows to cancel out the rest of the factors influencing China and the U.S., such as the world gasoline price. Through analysing the relations between health policies and markets, try to solve the inflation crisis from its origin. After comparing the results of both countries, evaluate health policies regarding the implementation and side effects, including the possibility of bringing about inflation whilst attempting to control it from the origin. It is found that health policies could be in a risky position to implement where great effectiveness in controlling the outbreak and inflation accompanying with tremendous cost. Successful government expansionary policies do not further the aggravate inflation crisis. Meanwhile, the research suggests that the provision of buffer stock on highly-weighted products in the consumer price index can counter the potential short-run inflation.

KEYWORDS

Effectiveness, Health policies, Inflation, COVID-19