Why is there so much talk about stagflation?
Stagflation, which is when an economy is experiencing both weak economic growth and high inflation, is a hot topic in the news. Can we avoid it? In this second video clip, Martin Coiteux explains this phenomenon and the risks associated with it.
He draws parallels between today’s conditions and those of the 1970s, and specifically addresses the issues of interest rates and energy supply. Lastly, he discusses what this means for CDPQ and the posture to adopt in light of these economic fluctuations.
The Economic Outlook series is an exploration of topical economic issues and how they impact markets and investors.