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stagflation
In stagflation, you have high inflation, high unemployment, and low demand.
This is called inflation or more precisely "price inflation".
Stagflation is an economics term used to describe the situation when you have a stagnant economy (no job growth) but high unemployment and high inflation. This is usually caused by an increase in the total labor force. There is just too many people in the workforce and not enough jobs available.
Both inflation and recession are occurring. A special term was coined for that. It is stagflation.
Stagnation and Inflation
stagflation
In stagflation, you have high inflation, high unemployment, and low demand.
This is called inflation or more precisely "price inflation".
Stagflation is an economics term used to describe the situation when you have a stagnant economy (no job growth) but high unemployment and high inflation. This is usually caused by an increase in the total labor force. There is just too many people in the workforce and not enough jobs available.
Both inflation and recession are occurring. A special term was coined for that. It is stagflation.
Recession
the name is stagflation. It is difficult to handle this situation. search for stagflation to know more...
a period of high inflation and slow economic growth
Stagflation back in the 70s was caused by rising oil prices which causes inflation, and a reduction in GDP, which was caused by various factors. At the start of 2008, GDP was going down, but inflation was still high due to oil prices, so it was thought we where entering a new stagflation period. However, oil prices have gone down since, and there's indications that inflation will not be an issue in 2009. So in conclusion, as of Jan. 2009, there is no clear indication that we have entered a stagflation period.
Stagflation was the combination of increasing inflation and unemployment that the US was experiencing. It was occurring because OPEC placed a trade embargo for oil on the US because the US had supported Israel in a war against Iraq.
for Nova Net Stagflation