More of the same?
James Codrington explores the patterns of stagflation and inflation and offers an outlook for the long run...
In the early 1970s, the German Chancellor Helmut Schmidt quipped that he preferred 5 per cent inflation to 5 per cent unemployment. A few years later he had to admit that he’d got both. He was not alone in being caught out: the disappearance of the trade-off between inflation and unemployment led to general bewilderment and the birth of ‘stagflation’ (albeit that the term was first coined in 1965 by the Conservative Chancellor of the Exchequer Iain Macleod).
Author: James Codrington
James Codrington heads the charities team at Barings and is a member of the targeted Return Group.
He joined Barings in 2002 and has 14 years' investment experience.
He has an MBA in Mordern History from Oxford University and is a regular speaker at charity events.
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