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Reason: None provided.

Stagflation is when you have the rare combination of economic recession or slow down, and inflation. Stagnation + inflation.

This leaves a central bank in an awkward position. The tools at its disposal are only useful for combatting one of these problems at a time.

If they try to tighten the money supply and raise rates to deal with inflation, it could make the coming recession worse.

So you end up in a situation where there's no clear policy prescription to get out.

This typically only happens when you have a price shock with a key commodity... which is exactly what happened with oil.

I personally don't think any of this is random. Part of the great reset plan imo.

2 years ago
4 score
Reason: None provided.

Stagflation is when you have the rare combination of economic recession or slow down, and inflation.

This leaves a central bank in an akward position. The tools at its disposal are only useful for combatting one of these problems at a time.

If they try to tighten the money supply and raise rates to deal with inflation, it could make the coming recession worse.

So you end up in a situation where there's no clear policy prescription to get out.

This typically only happens when you have a price shock with a key commodity... which is exactly what happened with oil.

I personally don't think any of this is random. Part of the great reset plan imo.

2 years ago
4 score
Reason: Original

Stagflation is when you have the rare combination of economic recession or slow down, and inflation.

This leaves a central bank in an award position. The tools at its disposal are only useful for combatting one of these problems at a time.

If they try to tighten the money supply and raise rates to deal with inflation, it could make the coming recession worse.

So you end up in a situation where there's no clear policy prescription to get out.

This typically only happens when you have a price shock with a key commodity... which is exactly what happened with oil.

I personally don't think any of this is random. Part of the great reset plan imo.

2 years ago
1 score