Fed's Williams says U.S. economy not hit by stagflation

By Michael S. Derby

April 11 (Reuters) - Federal Reserve Bank of New York President John Williams on Friday rejected the idea the economy was falling into a high inflation, low growth environment.

“This is not stagflation," Williams said in an appearance in Puerto Rico. "I'm old enough to know what stagflation was in the 1970s and early 80s. That was a period of double-digit unemployment, double-digit inflation, that was a period of sustained high inflation and economic weakness," and whatever challenges the U.S. faces right now, it's not a replay of those conditions, in part because the Fed will act to ensure it does not happen.