Stagflation: It’s always sounded like a dirty word, and is hopelessly tied to retro jokes about the ‘70s. But with GDP growth already, well, stagnant, the Labor Department announced Thursday that July saw the highest rate of inflation in 17 years, meaning you can now appropriately drop the word into water cooler convo without seeming like a potty-mouth or a retro hipster. On the downside, you are now paying 5.6 percent more for things than you did at this time last year.
A survey released Friday showed that U.S. consumer confidence has fallen to the lowest point since the “stagflation” of the early 1980s. According to the survey, lower-income households, citing rising food and fuel prices, were the main source of the drop in confidence.