inflationary spiral

noun

: a continuous rise in prices that is sustained by the tendency of wage increases and cost increases to react on each other

Examples of inflationary spiral in a Sentence

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In the long term, a severe debt or, more likely, an inflationary spiral could send the economy into a lost decade, drastically weakening the dollar’s position as the dominant global currency and undermining American power. Kenneth S. Rogoff, Foreign Affairs, 19 Aug. 2025 Experts from government think tanks and institutions warn of a potential inflationary spiral. Andrei Yakovlev, Foreign Affairs, 16 May 2025 The reality is that the Fed's hands are tied; lowering rates too aggressively could trigger another inflationary spiral, while keeping them elevated risks deepening economic stagnation. Dave Birnbaum, Forbes, 23 Jan. 2025 Simultaneously, uprooting millions of workers, especially in the midst of what the U.S. Chamber of Commerce has declared to be a labor shortage, would also accelerate an inflationary spiral. Joseph Epstein, Newsweek, 10 Dec. 2024 See All Example Sentences for inflationary spiral

Word History

First Known Use

1931, in the meaning defined above

Time Traveler
The first known use of inflationary spiral was in 1931

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Cite this Entry

“Inflationary spiral.” Merriam-Webster.com Dictionary, Merriam-Webster, https://www.merriam-webster.com/dictionary/inflationary%20spiral. Accessed 27 Aug. 2025.

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