Dr. Conor O'Toole:

There is one way to think about this. One way in which inflation in the domestic economy can materialise is if there is too much expenditure at that time. That puts pressure on resources. The current crisis is a different type of shock. Prices are rising in the international markets and these are passing to us domestically. That will lower households' expenditure because their budgets will not go as far and they will not be able to make as many consumption decisions. Real incomes will be squeezed. Since inflation is increasing at a faster rate than wage growth, households will have a shock to their real incomes. That will lead to lower expenditure and then-----