Supply Chain Issues Account for Half of US Inflation, Says San Francisco Fed

Shelves in grocery stores and drugstores such as at this CVS Drugstore in Cleveland, Ohio that once were well-stocked with baby formula, have been sparse if not bare for several weeks. A shutdown at Michigan-based Abbott Labs in February because of violations, has affected the formula supply chain throughout the U.S., causing parents to struggle finding the right kind of formula they need for their children. Michael Sakal/The Epoch Times

Supply chain issues have accounted for about half of the surge in U.S. inflation, exacerbated by the conflict in Ukraine, according to a June 21 report from the Federal Reserve Bank of San Francisco.

High consumer demand currently makes up a third of the increase.