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What is Stagflation?
An economic condition in which high inflation occurs together with stagnation and high unemployment.
ExampleThe oil shock of the 1970s led to stagflation; both inflation and unemployment were high.The figures in the example illustrate the concept; they are not current market data.
Related terms
InflationThe rise in the general price level over time and the resulting loss of money's purchasing power.RecessionA period of economic contraction defined as GDP shrinking for two consecutive quarters.ReserveA central bank's stock of international assets made up of foreign currency, gold and other valuables.CPI (Consumer Price Index)An inflation measure that tracks the price change of a basket of goods and services bought by urban consumers.
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Frequently asked questions
What is Stagflation?
An economic condition in which high inflation occurs together with stagnation and high unemployment.
What is Stagflation called in Turkish?
In Turkish financial reporting and news, Stagflation is called Stagflasyon.
Which concepts are related to Stagflation?
The concepts most often mentioned together with Stagflation are Inflation and Recession.