stagflation

noun

stag·​fla·​tion ˌstag-ˈflā-shən How to pronounce stagflation (audio)
: persistent inflation combined with stagnant consumer demand and relatively high unemployment
stagflationary adjective

Did you know?

Stagflation is a portmanteau, that is, a word that blends two others (in this case, "stagnation" and "inflation"). The first documented use of the word appeared in 1965 in the writing of British politician Iain Macleod, who wrote, "We now have the worst of both worlds - not just inflation on the one side or stagnation on the other, but both of them together. We have a sort of 'stagflation' situation." Macleod is often credited with coining the term, and his linguistic invention was quickly embraced by economists in the United States, who used it to refer to the period of economic sluggishness and high inflation that affected the country in the 1970s.

Examples of stagflation in a Sentence

Recent Examples on the Web
Examples are automatically compiled from online sources to show current usage. Read More Opinions expressed in the examples do not represent those of Merriam-Webster or its editors. Send us feedback.
New York — Two key reports released Thursday showed the US economy may be in a state of early-onset stagflation — a toxic one-two punch of slow economic growth and rising prices. Allison Morrow, CNN Money, 11 Sep. 2025 The prospect of stagflation is increasingly plausible. Carlo Versano, MSNBC Newsweek, 10 Sep. 2025 The stock market indexes are near all-time highs, but inflation and unemployment concerns are rising, and whispers of stagflation put the Fed between a rock and a hard place. John Walkup, Forbes.com, 9 Sep. 2025 The report soothed stagflation fears and added to hopes that the Federal Reserve could actually cut more times this year than previously anticipated. Sarah Min, CNBC, 12 Aug. 2025 See All Example Sentences for stagflation

Word History

Etymology

blend of stagnation and inflation

First Known Use

1965, in the meaning defined above

Time Traveler
The first known use of stagflation was in 1965

Browse Nearby Words

Podcast

Cite this Entry

“Stagflation.” Merriam-Webster.com Dictionary, Merriam-Webster, https://www.merriam-webster.com/dictionary/stagflation. Accessed 16 Sep. 2025.

More from Merriam-Webster on stagflation

Last Updated: - Updated example sentences
Love words? Need even more definitions?

Subscribe to America's largest dictionary and get thousands more definitions and advanced search—ad free!