During the early phases of recovery from stagflation,
A) inflation continues to climb even though it eventually falls.
B) inflation begins to decline almost immediately.
C) inflation is initially unaffected.
D) any of the above depending on economic circumstances.
E) either a or c only) depending on economic circumstance.

Question

Quizplus · Accepted Answer

Stagflation recovery can vary widely depending on economic policies, global conditions, and other factors, meaning inflation's response can differ, making any of the scenarios possible.

During the Early Phases of Recovery from Stagflation