‘Stagflation’ is a situation where the economy faces / » Micro economics 2 solved MCQs / By admin Question: ‘Stagflation’ is a situation where the economy faces A. Inflation B. Stagnation C. Inflation as well as stagnation D. None of the above Answer» b. Stagnation Note: The above multiple-choice question is for all general and Competitive Exams in India.