I don’t understand why shortage of product causes inflation across the board. For example, eggs are hard to get, but everything goes up in price due to the shortage. I can understand that low supply of eggs will cause the price of eggs to go up, by why does it affect all the other prices of food too?
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Mostly it doesn’t. There was a spike in egg prices, but that didn’t cause the price of apples or lettuce to go up. It did temporarily increase general measures of inflation based on the cost of eggs (i.e. if everyone spent an extra $100/year on eggs, that $100 would be reflected as inflation).
There are some products that will have that affect — oil is a big one, since nearly every good we purchase is transported by trucks that require fuel.
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