The University of Massachusetts Amherst

Isabella Weber on the Interest Rate Panel at the World Economic Forum. Credit: World Economic Forum
Academics

Isabella Weber Speaks at 2025 World Economic Forum

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Isabella Weber speaks at the World Economic Forum. Credit: Faruk Pinjo
Isabella Weber speaks at the World Economic Forum. Credit: Faruk Pinjo

Isabella Weber, associate professor of economics, joined world leaders, policymakers and business executives at the World Economic Forum (WEF) Annual Meeting in Davos, Switzerland last week to discuss pressing global economic issues. Weber, a leading voice on policy responses to inflation, was among 100 experts globally across disciplines invited to participate in the forum. 

Speaking on a panel about the future of interest rates, Weber noted that the COVID-19 pandemic and Russia’s invasion of Ukraine were more inflationary than many had expected, resulting in price increases in key sectors such as energy and food.

“We have seen this more persistent inflationary effect that came from supply-side shocks, and I think a lot of the things that we are looking at, if we think about the next couple of years, are also in the category of supply-side shocks.” she said. As examples, Weber pointed to potential new U.S. tariffs threatened by President Donald Trump, extreme weather from climate change and Trump’s talk of retaking the Panama Canal. 

Another key topic at the forum was the possibility that Trump could introduce price controls to cool inflation, particularly if his threatened tariffs drive up prices. “These inflation risks are real, but Trump may very well be willing to break with orthodoxies and seize on opportunistic measures if they help him cement his power,” Weber recently wrote in Foreign Affairs.

In Davos, she also presented at a session titled “Mapping Solutions for: Productivity,” exploring the impact of technologies on productivity and the extent to which their adoption can counteract the impacts of population decline on gross domestic product.

The WEF brings together top minds from various sectors to exchange ideas on global economic trends. The 2025 forum focused on the theme of “Collaboration for the Intelligent Age,” responding to geopolitical shocks, stimulating growth to improve living standards and stewarding a just and inclusive energy transition.