stagflation

noun

stag·fla·tion ˌstag-ˈflā-shən

: persistent inflation combined with stagnant consumer demand and relatively high unemployment

stagflationary

ˌstag-ˈflā-shə-ˌner-ē

adjective

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Stagflation is a portmanteau, that is, a word that blends two others (in this case, "stagnation" and "inflation"). The first documented use of the word appeared in 1965 in the writing of British politician Iain Macleod, who wrote, "We now have the worst of both worlds - not just inflation on the one side or stagnation on the other, but both of them together. We have a sort of 'stagflation' situation." Macleod is often credited with coining the term, and his linguistic invention was quickly embraced by economists in the United States, who used it to refer to the period of economic sluggishness and high inflation that affected the country in the 1970s.

Examples of stagflation in a Sentence

Recent Examples on the Web

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Negative growth along with an inflation boost equals stagflation. —

Vicki M. Young, Sourcing Journal, 4 Feb. 2025 The country's top bankers and influential think tanks have raised the stagflation alarm. —

Dan Perry, Newsweek, 3 Jan. 2025 While rising stock prices and higher home prices could result in faster consumer spending — which accounts for 70% of economic growth, higher prices resulting from tariffs and stricter immigration policies to result in stagflation. —

Peter Cohan, Forbes, 20 Dec. 2024 Even if trading partners retaliate with their own tariffs, stagflation poses a greater risk to the U.S. economy than an outright decline in national output or gross domestic product. —

Laurent Belsie, The Christian Science Monitor, 23 Jan. 2025 See all Example Sentences for stagflation