Why Inflation May Not Get Out of Control

With food and energy prices soaring, there's every reason to worry about inflation. But there are also reasons to believe it won't get out of control.

The Bureau of Labor Statistics on Wednesday releases its consumer-price index for April. Lehman Brothers economists estimate the CPI rose 3.9% from a year ago and that the so-called core CPI, which strips out food and energy, rose 2.3%. Both would still be uncomfortably high, but better than in March.

Some analysts believe the Federal Reserve -- after slashing interest rates for months -- may need to start raising rates again to battle inflation. ...