Stagflation (Noun)
Meaning
A period of slow economic growth and high unemployment (stagnation) while prices rise (inflation).
Classification
Nouns denoting natural processes.
Examples
- The economy had fallen into stagflation with prices increasing, despite massive job losses and stagnant wages.
- Stagflation led to increased costs for consumers who were already struggling to make ends meet due to a lack of employment opportunities.
- The stagflation of the 1970s was characterized by an unusual mix of stagnant economic growth and rising inflation rates.
- Experts speculated that another period of stagflation could be looming on the horizon due to rising energy costs and wage stagnation.
- Historically, the occurrence of stagflation was considered impossible, as the usual link between inflation and economic growth led many to believe that one could not occur without the other.