slumpflation
/slʌmpˈfleɪʃən/
noun
- An economic situation in which a slump (a severe decline in business activity) is combined with inflation (rising prices).
- During the 1970s, many countries suffered from slumpflation, with high unemployment and rising costs of living.
- The government struggled to address slumpflation because measures to boost the economy often made inflation worse.
- Economists warned that the new policies could lead to slumpflation if not carefully managed.
Synonyms