The Impact of the Geopolitical Situation on Inflation in the Current Period

Abstract In a global context marked by conflict and instability, the impact of war on the economy and, in particular, on inflation becomes a topic of major importance. However, there is a lack of detailed studies on the effects of contemporary conflicts on inflation in Romania. This study aims to fill this gap by analyzing the impact generated by recent conflicts, especially the war between Russia and Ukraine and the COVID-19 pandemic, on the inflation rate in Romania in the period 2005-2023. The methodology used involves an econometric analysis of macroeconomic data from this period, combined with a qualitative examination of applied economic policies. The main findings indicate that these events had a significant effect on the evolution of inflation, influencing both internal and external factors of the Romanian economy. The study adds value to the existing literature by providing an updated and detailed perspective on how global events affect inflation in an emerging economy like Romania.