Bloomberg reports that Euro-area consumers have dedicated a greater share of spending to food since the start of the pandemic, and less to recreation.
But the shift isn’t accounted for in the region’s official inflation measurements. According to research from the European Central Bank, price growth would have been some 0.2 percentage point higher from April to August if one accounted for changing consumption patterns.
Measurement issues will likely persist into 2021 and 2022, according to the ECB’s report.
