## Stagflation is an economic threat that also impacts crypto
The combination of economic stagnation with simultaneous rising prices is a phenomenon that economists call stagflation. In short, it occurs when a country faces high unemployment, minimal economic growth, and at the same time observes an increase in the cost of goods and services.
Of course, such a combination creates an incredible paradox for policymakers and central banks. Measures that curb inflation often exacerbate economic stagnation. Conversely, stimulating growth usually ignites price processes.
## How stagflation affects c
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