58 Stagflation

In economics, stagflation, a combination word made up of the words "stagnation" and "inflation", is a situation in which the inflation rate is high, the economic growth rate slows, and unemployment remains steadily high in spite of Government monetary and fiscal actions to stimulate the Aggregate Demand (aggregate demand (AD) or domestic final demand (DFD) is the total demand for final goods and services in an economy at a given time. It specifies the amounts of goods and services that will be purchased at all possible price levels).