6 Recession-Resistant Stocks That Can Survive Stagflation
Recession-resistant stocks have the ability to outperform and survive better than other stocks during a period of stagflation. That is when inflation is high, employment is low and economic growth is either negative or faltering. This is what happened during much of the 1970s. This was when government policies were hostile to businesses and economic growth. Policy solutions tended to gravitate toward high taxes, bureaucratic interference and top-down solutions, rather than laissez-faire prescriptions. As a result, stocks faltered during much of that decade. It ended in a period of super high inflation that could only be broken by a very tight monetary policy. As things stand now, many of these lessons may end up having to be relearned. One way to avoid these pitfalls from an investment standpoint is to stick with strictly value-oriented stocks. That means stocks that pay dividends, have higher than average yields, good earnings outlooks and low price-to-earnings multiples. 7 Best Clean Energy Stocks to Buy Now Let’s dive in and look at these recession-resistant stocks to buy.
6 Recession-Resistant Stocks That Can Survive Stagflation
Recession-resistant stocks have the ability to outperform and survive better than other stocks during a period of stagflation. That is when inflation is high, employment is low and economic growth is either negative or faltering. This is what happened during much of the 1970s. This was when government policies were hostile to businesses and economic growth. Policy solutions tended to gravitate toward high taxes, bureaucratic interference and top-down solutions, rather than laissez-faire prescriptions. As a result, stocks faltered during much of that decade. It ended in a period of super high inflation that could only be broken by a very tight monetary policy. As things stand now, many of these lessons may end up having to be relearned. One way to avoid these pitfalls from an investment standpoint is to stick with strictly value-oriented stocks. That means stocks that pay dividends, have higher than average yields, good earnings outlooks and low price-to-earnings multiples. 7 Best Clean Energy Stocks to Buy Now Let’s dive in and look at these recession-resistant stocks to buy.