Stagflation describes a situation in the economy where the economy is

A) growing with a simultaneous inflation.
B) stagnant and prices are falling.
C) growing and prices are falling.
D) stagnant and prices are stable.
E) stagnant and prices are rising.

Stagnant Economy

An economic condition characterized by slow or no growth in production, employment, and other indicators of economic health.

Simultaneous Inflation

A situation where prices of goods and services rise at the same time across different sectors of an economy.

Prices Rising

An increase in the general level of prices of goods and services in an economy over a period of time.