is an economic scenario where a peculiar combination of low growth and rising inflation leads to hi...........

General Studies (CGL) Indian Economy

______ is an economic scenario where a peculiar combination of low growth and rising inflation leads to high unemployment.

This questions was previously asked in

SSC CGL 24th August 2021 Shift-1

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Depreciation

Deflation

Stagflation

Recession

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Explanation:

Sure, let's go through the options:

- Depreciation: This refers to the reduction of the value of an asset over time. It is not related to the mix of rising inflation, low growth, or high unemployment.

- Deflation: This occurs when the overall price level in an economy falls, typically accompanied by a decrease in the supply of money and credit. It's characterized by reduced spending and can lead to unemployment, but not rising inflation.

- Stagflation: This is the correct answer. It is a situation where the economy experiences stagnant growth, high inflation, and high unemployment all at the same time.

- Recession: This is a period of temporary economic decline, usually identified by a fall in GDP in two successive quarters. Inflation is not a defining characteristic.