The most immediate impact of rising inflation is "higher prices". It should be noted however, that while this is the first major sign of inflation, there are other consequences as well.
True The Mandate of Heaven was the proper way for the Chinese to rule
Russia got the bomb
Spying was ramped on both sides.
There was an arms race and it was open, which was the main reason for Eisenhower warning against the Military Industrial complex. The military was just becoming far too powerful.