BOE Embraces Sharp Slowdown and Higher Inflation Theory

Bank warns of economic slowdown
In its first report since the August credit crunch, the Bank says it expects a sharp slowdown in UK domestic growth in the next year - and higher inflation as well.

That's stagflation, right?

The governor refused to call the situation stagflation, which is the combination of a recession and high inflation, saying things were much worse in the l970s when rising oil prices and spiralling government spending pushed the UK economy deep into recession.

Refuse to call it stagflation while bringing up 1970s rising oil prices and spiralling government spending? Fantastic plan!!

Illusion of Prosperity, attempting to maximize economic sarcasm on the Internet since 2007.