stagflation
/stæɡˈfleɪʃən/
noun
- An economic situation where there is high inflation (prices rising quickly) and high unemployment (many people without jobs) at the same time, with little or no economic growth.
- Stagflation is difficult for governments to fix because policies that help inflation can make unemployment worse.
- Economists worry that stagflation could return if prices keep rising while jobs disappear.
- The 1970s saw a period of stagflation that hurt many families.