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• Stagflation is a condition of slow economic growth and relatively high unemployment, or economic stagnation, accompanied by rising prices, or inflation.
• It can also be defined as inflation and a decline in gross domestic product (GDP).
• Stagflation means a simultaneous increase in prices and stagnation of economic growth.
• Stagflation was first widely recognized after the mid-20th century, especially in the U.S. economy during the 1970's, which experienced persistently rapid inflation and high unemployment.
• The term "stagflation" was first used during a time of economic stress in the United Kingdom by politician Iain Macleod in the 1960s while he was speaking in the House of Commons
• Stagflation led to the emergence of the Misery index.