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What Was The US Inflation Of 1970s All About?
What Was The US Inflation Of 1970s All About?
Federal Reserve chair Jerome Powell has downplayed United States of America's current inflation scare. “It is very, very unlikely” to see inflation levels of '70s, said Powell. So, what was the inflation of 1970s all about? Inflation is the pace of rise of prices of goods and services in an economy. High prices and slow growth, coupled with unemployment leads to stagflation. In the ‘70s, the US monetary policy was expansive, fuelling inflation. America witnessed a severe price rise along with high unemployment in the decade. Watch this video to find out what happened after and will history repeat itself.
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