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Gas prices have an outsized impact on inflation and will likely ease, says BYU economist

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Posted at 3:48 PM, Mar 22, 2022
and last updated 2022-03-22 19:50:34-04

PROVO, Utah — Vladimir Putin’s invasion of Ukraine hit the world economy at a time it was already rocked by pandemic inflation.

BYU economist Christian vom Lehn says that’s especially true when it comes to gas prices.

"The price of gas has increased by about $1.50 nationally, and about $0.75 to $1 of that happened prior to the invasion of Ukraine,” vom Lehn said.

The volatility of gas prices has an outsized impact on current inflation, vom Lehn said, adding that gas prices are volatile and will likely fall as supply chain issues ease.

“The good news is much of the pain will be temporary and not long-lasting,” said vom Lehn.

Watch the full interview below:

In-Depth: How the conflict in Ukraine is affecting Utah