02375cas a2200361 a 4500 AALejournalIMF022447 230101c9999 xx r poo 0 0eng d 5.00 USD 9798400202476 1018-5941 BD-DhAAL BD-DhAAL Celasun, Oya. Supply Bottlenecks : Where, Why, How Much, and What Next? / Oya Celasun, Niels-Jakob Hansen, Aiko Mineshima, Mariano Spector. Washington, D.C. : International Monetary Fund, 2022. 1 online resource (50 pages) IMF Working Papers <strong>Off-Campus Access:</strong> No User ID or Password Required <strong>On-Campus Access:</strong> No User ID or Password Required Electronic access restricted to authorized BRAC University faculty, staff and students Supply constraints hurt the economic recovery and boosted inflation in 2021. We find that in the euro area, manufacturing output and GDP would have been about 6 and 2 percent higher, respectively, and half of the rise in manufacturing producer price inflation would not have occurred in the absence of supply bottlenecks. Globally, shutdowns can explain up to 40 percent of the supply shocks. Sectors that are more reliant on differentiated inputs-such as autos-are harder hit. Late last year industry experts expected supply shortages for autos to largely dissipate by mid-2022 and broader bottlenecks by end-2022, but given the Omicron wave, disruptions will last for longer, possibly into 2023. With supply constraints adding to price pressures, the challenge for policymakers is to support recovery without allowing high inflation to become entrenched. Mode of access: Internet Macroeconomics imf Output, Inflation, Manufacturing and Supply Constraints imf PPI Inflation imf Prices, Business Fluctuations and Cycles imf Producer Price Inflation imf Supply-Shock Contribution imf Spain imf Hansen, Niels-Jakob. Mineshima, Aiko. Spector, Mariano. IMF Working Papers; Working Paper ; No. 2022/031 Full text available on IMF http://elibrary.imf.org/view/journals/001/2022/031/001.2022.issue-031-en.xml IMF e-Library