Ukraine war could push US into 'stagflationary' era, warns Powell
Only precedent for current spike in energy, consumer prices are 1970s 'oil shocks'
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US Federal Reserve chairman Jerome Powell has joined the ranks of economists warning that the ongoing Ukraine war could push the US into a "stagflationary" era comparable to the malaise of the 1970s.
In a speech to the National Association of Business Economics (NABE) earlier this week, he said the only precedent for the current spike in energy and consumer prices were the "oil shocks" of that era.
As members of the association - prominent in the 1970s - would know, Powell was warning of the dangers of stagflation, which causes prices to rise so sharply that they wipe out consumer confidence and demand.
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