Combating a Persistent Inflation Shock

Imagine an economy is experiencing a prolonged period of high inflation, initially triggered by a sharp, sustained increase in the cost of a critical imported resource. To combat this, policymakers decide to prioritize reducing inflation, even at a short-term cost to employment. Arrange the following stages to reflect the logical sequence of events in this disinflationary process.

An economy is experiencing a prolonged period of high inflation, where this year's inflation rate is strongly influenced by last year's rate. A policymaker argues that the only way to break this cycle and significantly lower inflation is to accept a period of unemployment above its normal equilibrium level. What is the most likely economic reasoning behind this argument?

The Societal Trade-off in Fighting Inflation