World Bank warns of 1970s-style stagflation
The World Bank on Tuesday warned that the global economy is facing a 1970s-style stagflation with a protracted period of feeble growth and elevated inflation.
“For many countries, recession will be hard to avoid,” World Bank President David Malpass said at the presentation of the bank’s latest Global Economic Prospects report, which noted an increased risk of stagflation ”with potentially harmful consequences for middle- and low-income economies alike”.