What are the key differences between recessions and stagflations?
- July 31, 2022
- Eric Swanson, economics, MoneyGeek, July 31, 2022
Eric Swanson, UCI professor of economics says: “Normally, the economy grows over
time. A recession is a time when a wide range of economic variables reverse course
and move in the opposite direction for more than a month or two. … Stagflation is
a period when the economy is experiencing inflation and also stagnation, where stagnation
means either a recession or unusually slow growth. Thus, if the economy is growing
slowly, we can have stagflation without a recession. On the other hand, if inflation
is low, but the economy is shrinking, we could have a recession without stagflation.”
For the full story, please visit https://www.moneygeek.com/economics/terms/stagflation/#expert=eric-swanson.
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