Pandemic unlikely to bring back 'Great Inflation': Meritz expert
Lee Kyung-soo, head of the Meritz Securities Research Center, speaks during the Korea CQ Forum, Tuesday. Courtesy of Corea Image Communication Institute (CICI)
By Dong Sun-hwa
The lingering COVID-19 pandemic is unlikely to bring back a dramatic event like the “Great Inflation” (1965-82), says Lee Kyung-soo, the head of the Meritz Securities Research Center.
“We are less likely to witness the recurrence of the high inflation in this pandemic era, because inflation will stabilize as supply side pressures ease step by step,” Lee said at the Korea CQ Forum, hosted by the Corea Image Communication Institute (CICI), Tuesday.
“But the end of the pandemic will not lead growing industries ― such as battery electric vehicle (BEVs) ― to reach their peaks... In fact, many of them are currently entering the shakeout phase, which usually starts when an industry's penetration rate nears 10 percent.”
Third row, from left, are Jake Tae-sung Kim, managing director of Hana Financial Investment; Eugene Bang, founder and chairman of Millenasia; Park Youn-jung, CEO of Mint Tour; James Park, director of BIO Plastic Surgery; Choi Ho-sik, CEO of PORE. Second row, from left, are Singaporean Ambassador Eric Teo; German Ambassador Michael Reiffenstuel; Go Young-ha, CEO of AMC Asia; Jackie Son, mobility manager at Crown Worldwide; Park Hae-won, CEO of GENIC; Joseph Young, head of energy at Bureau Veritas Group, Northeast Asia Region. First row, from left, are Lee Sung-ju, violinist and president of the Korea National Institute for the Gifted in Arts; Na Eun-gyung, president of NAS Communication; Choi Jung-wha, president of CICI; Lee Kyung-soo, head of the Meritz Securities Research Center; New Zealand Ambassador Philip Turner; and Didier Beltoise, president of Cs. Courtesy of CICI
During the event at the residence of the German Ambassador to Korea Michael Reiffenstuel, Lee said he believes that excessive liquidity poured into the stock market was not the biggest reason behind for a rally that started after the beginning of the pandemic.
More than 15 opinion leaders attended the event, including New Zealand Ambassador Philip Turner and Singaporean Ambassador Eric Teo.