What economic crisis followed the end of the Vietnam War?

The economic crisis that followed the end of the Vietnam War in the mid-1970s was stagflation, a term that describes a unique combination of stagnant economic growth, high unemployment, and high inflation. As the United States pulled out of Vietnam, several factors contributed to this crisis, including increased competition from foreign markets, rising oil prices due to the OPEC oil embargo, and shifts in consumer confidence.

Stagflation was particularly challenging because it contradicted the traditional economic theory that inflation and unemployment do not rise simultaneously; typically, low unemployment correlates with higher inflation due to increased demand for labor. However, during this period, the U.S. economy faced rising prices and a decrease in production and job availability, creating a difficult environment for both policymakers and the average citizen.

The Great Depression occurred much earlier during the 1930s and is not relevant to the timeframe of the Vietnam War's end. The Dot-com Bubble refers to the rapid rise and subsequent collapse of internet-based companies in the late 1990s and early 2000s. The Recession of 2008 is associated with the financial crisis stemming from mortgage-backed securities and does not relate to the economic conditions immediately post-Vietnam War. Therefore, the stagfl