In the Media

Prof. Jonathan Gruber speaks with Boston Public Radio hosts Jim Braude and Margery Eagan to explain the relationship between inflation and interest rates. “What’s driving the inflation recently is auto insurance prices,” says Gruber. “Why are insurance prices going up? It actually comes back to the Fed. Auto insurers make a profit in two ways. One is by charging you more than they’ll pay out and the other is investing money and getting rates of return on that money.”