US-China Trade War Could Spark Higher Inflation, Slower Growth Worldwide

The split between the U.S. and China threatens the global economy and may increase inflation.
Historical data shows geopolitical risks usually lead to higher inflation.
If the U.S. and China divide the world supply chain, consumer prices could rise up to 5% in the short term and 1% in the long term.
A fractured global economy will make it harder for central banks to control inflation.
Policymakers must improve supply chain efficiency and conserve energy to manage costs and inflation.