Britain's weary consumers are not the only ones feeling the pinch from rocketing fuel and food prices. All over the world, inflation is eating away at families' spending power - and creating a dilemma for economic policymakers.

While consumers in developed countries can often cut back on other spending to accommodate the rising cost of food, petrol and heating bills, those in poorer areas do not have that luxury. The soaring price of staple foods such as bread and rice has sparked a wave of protests from Mexico to Haiti to west Africa. World Bank president Robert Zoellick warned recently that the surging cost of food could set back the battle against poverty by up to seven years. ... Read full article