The Great Inflation
Full Name
The Great Inflation of the 1970s
Start Date
1/1/1969
End Date
6/30/1980
The Great Inflation of the 1970s was a period of time of significant inflation in the United States.
- Period of time from late 1969 to 1980
- Maxed out in 1980 with a CPI of 13.6%
Potential Causes
- Failure of Bretton Woods - 1971 GMR (move away from gold standard to floating currencies)
- The Vietnam War (excess military spending)
- Demographics (Baby Boomers entering the workforce - when they consume the most)
Historical Setup
- Was not expected or forecasted to occur
- CPI was fairly low for the previous decade