By Naveen Athrappully Signs of stagflation are mounting as recent data from the Federal Reserve Bank of Richmond reveal dismal manufacturing activity and elevated inflation weighing down on the U.S. economy. The Richmond Fed’s Manufacturing Index declined from an already low level of zero in September to -10 in October, going below its August level, said an Oct. 25 report by the bank. […]
Tag: Stagflation
In economics, stagflation or recession-inflation is a situation in which the inflation rate is high or increasing, the economic growth rate slows, and unemployment remains steadily high. It presents a dilemma for economic policy, since actions intended to lower inflation may exacerbate unemployment.