The Collaborative International Dictionary of English v.0.48:

Stagnation \Stag*na"tion\ (-n[=a]"sh[u^]n), n. [Cf. F.
   stagnation.]
   1. The condition of being stagnant; cessation of flowing or
      circulation, as of a fluid; the state of being motionless;
      as, the stagnation of the blood; the stagnation of water
      or air; the stagnation of vapors.
      [1913 Webster]

   2. The cessation of action, or of brisk action; the state of
      being dull; as, the stagnation of business.
      [1913 Webster]

WordNet (r) 3.0 (2006):

stagnation
    n 1: a state of inactivity (in business or art etc); "economic
         growth of less than 1% per year is considered to be
         economic stagnation" [syn: stagnation, stagnancy,
         doldrums]
    2: inactivity of liquids; being stagnant; standing still;
       without current or circulation [syn: stagnation,
       stagnancy]