moh malekpour
Elite Member
- Joined
- May 25, 2002
- Professional Status
- Certified Residential Appraiser
- State
- California
http://www.bloomberg.com/apps/news?pid=20601087&sid=a.kPGzU8jTrE&refer=home
In recession, you have reasonable prices of what you need in the market but you don't have money, income or job to buy them.
In inflation, you have plenty of money but prices are so high that your bulk of money cannot buy them.
In stagflation, you have the worst of both. You don't have income, money or work and the price of everything is unreasonably high.
Stagflation is very ugly. It is worse than recession and inflation.The U.S. economy may be suffering from its first bout of stagflation since the start of this decade, reports on housing, prices and manufacturing indicated.
Builders broke ground on 975,000 homes at an annual pace in May, the least in 17 years, and construction permits fell, the Commerce Department reported in Washington. Meanwhile, the Labor Department said producer prices jumped 1.4 percent, more than economists forecast. A further report from the Federal Reserve showed industrial production unexpectedly dropped 0.2 percent.
In recession, you have reasonable prices of what you need in the market but you don't have money, income or job to buy them.
In inflation, you have plenty of money but prices are so high that your bulk of money cannot buy them.
In stagflation, you have the worst of both. You don't have income, money or work and the price of everything is unreasonably high.