July 31, 2022 | Nathan Paulus, MoneyGeek

Nathan Paulus’s latest MoneyGeek article features insights from Robert S. Bacarella on the key differences between stagflation (persistent high inflation combined with high unemployment and stagnant demand in a country’s economy) and recession (a period of temporary economic decline during which trade and industrial activity are reduced) and how bankers have been dealing with stagflation in recent years. “The core issue between stagflation and recessions is raising prices primarily due to imbalances in the supply and demand for products.” Read more at MoneyGeek

*Inflation: a general increase in prices and fall in the purchasing value of money

**Purchasing Power: the financial ability to buy products and services