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A Frightful Reminiscence of Stagflation

Monday, October 18, 2021

Bad memories from the 1970s are resurfacing. Then, the world economy fell into the chasm of stagflation: a decline in growth accompanied by high inflation. The current situation looks similar.

 

arsip tempo : 171168787777.

Ilustration: Tempo/Imam Yunianto. tempo : 171168787777.

THE global economic recovery has hit a snag. That is the main point from the October 2021 edition of the World Economy Outlook. The International Monetary Fund (IMF) shaved global growth projections from their July estimate of 6 percent down to 5.9 percent. As for Indonesia, IMF projections are far bleaker. The Indonesian economy is projected to grow a mere 3.2 percent this year, far below the previous projection of 3.9 percent.

IMF’s

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