Business Week: Inflation, Billionaires in Space and Other

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The government reported a significant measure of inflation in June. climbed the fastest pace in 13 yearscasts doubt on the White House’s claim that post-pandemic price increases are “temporary.” The rise in inflation is clearly linked to the rapid reopening of the economy, which creates supply and demand mismatches. But there is debate about how long it will stay high: Will it be temporary or stable, as most policymakers believe? On Wednesday, Federal Reserve Chairman Jerome H. Powell acknowledged: Inflation has risen “significantly” and it’s likely to stay as high as six months, he said. Still, the Fed is not expected to raise interest rates anytime soon.

Facebook, Netflix and Apple are entering new territory. Facebook has joined the list of platforms, including Snapchat and YouTube, which are trying to woo online creators with cash. HE IS plans to pay $1 billion until the end of 2022. Netflix plans to expand beyond TV and film and into video games, Bloomberg reported. And Apple is reportedly working on it a feature This will allow consumers to pay for their Apple Pay purchases in instalments. Twitter, on the other hand, is moving in the opposite direction: last Fleets, the temporary tweet feature it introduced last year.

China’s economy on Thursday grew 7.9 percent in the second quarter. This was strong growth, but fell from about 18.3 percent in the first three months of the year. Part of the reason for the drop in growth is a statistical oddity. (The blockbuster rate earlier in the year partially reflected how quickly economic output fell in early 2020.) But the rest of the world is watching closely for signs that the Chinese economy is slowing significantly. In addition to being the world’s second largest economy, China has emerged from lockdowns faster than other major countries, so the pace of economic recovery could give clues as to how quickly other countries’ economies will recover.

Jeff Bezos, who just left Amazon’s CEO on Tuesday, is expected to become the second billionaire rocket company founder to go into space this month. (British billionaire Richard Branson, who leads several Virgin companies, nine days beat it.) Mr. Bezos will travel in a reusable suborbital capsule built by his company, Blue Origin. An anonymous bidder paid $28 million to accompany him canceled “due to scheduling conflicts” According to Blue Origin, an 18-year-old bidding in the auction family will also get the seat. Mr. Branson’s spaceflight was the first of its kind that his company Virgin Galactic plans to offer to customers, and Mr. Bezos’ flight will be Blue Origin’s first manned spaceflight. While there Which skeptics About the need for commercial space flights, billionaires’ flights are at least a small step for a new business for tourism (and liability insurance).

United, Southwest and American Airlines’ earnings reports will serve as a progress report for post-pandemic travel in the United States. Delta Air Lines last week announced his first wife He said that since the start of the pandemic, domestic leisure travel has fully recovered to 2019 levels. But there’s still a big question as to whether businesses will continue to restrict travel, perhaps permanently. Delta said the number of business travelers was still down 60 percent from 2019 levels in June, but that’s an improvement from 80 percent in March.

The Olympics start on Friday, but due to a spike in Covid-19 cases in Tokyo, no audience at most events. hosting the Olympics rarely pays for cities at the best of times. It has exceeded every Olympic budget since 1960. an analysis by researchers at Oxford University. But empty stands and a one-year delay due to the pandemic will make the Olympics particularly expensive for Tokyo. The city said it would do it first. spent $7.3 billionand 2019 government control It put the actual spending at approximately $28 billion. Postponing the Games has likely added billions more, and while brand sponsorships and licensing fees will still generate revenue, Tokyo won’t monetize ticket sales or see the same tourism boost as former Olympic-hosting cities.

Group of 20 nations A global minimum corporate tax has been agreed upon, but nailing the details may be more complex. Senate Democrats have made a proposal $3.5 trillion infrastructure bill (although it’s unclear whether they have the votes to pass). Co-working spaces is something again. and England lifting of pandemic restrictions On Monday.

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