What economic conditions or problems led to a stagnant economy during the 1970s? List at

least 2 reasons for a stagnant economy.

Question

History

Shane Mcgrath

21 November, 08:26

What economic conditions or problems led to a stagnant economy during the 1970s? List at

least 2 reasons for a stagnant economy.

+4

Answers (1)

Know the Answer?

Ansley Wiley · Answer 1

High unemployment rate

High inflation

Explanation:

The 1970s was characterized by stagnant economy. This was as a result of factors such as high unemployment rate and high inflation.

High unemployment rate means most of the citizens don't work and it reduces the human labour which is an important determinant for economic growth. The citizens work and the countries collect taxes to boost and finance the economy.

High inflation rate is the high rate of goods and services being bought or rendered. It is synonymous with a bad economy and was also responsible for the economic problems.

What economic conditions or problems led to a stagnant economy during the 1970s? List atleast 2 reasons for a stagnant economy.

What economic conditions or problems led to a stagnant economy during the 1970s? List at

least 2 reasons for a stagnant economy.