To assert that economists are having trouble figuring out the relationship between inflation and unemployment is like saying chefs can’t figure out what to do with salt and pepper. It’s that fundamental. Yet, we’re befuddled, and that has powerful policy implications. For example, a prominent macro economist recently suggested to me that we must have… Read more
Over at PostEverything. BTW, a friend who visits here regularly was mildly complaining about jumping around from site to site to read my posts. I sympathize, but we’re just talking a mouse click. And while OTE’ers bring very high quality eyeballs to this site, changing the world requires eyeball quantity as well as quality.
Over at PostEverything. Key points: Clearly, this economic recovery has evolved too slowly and is still not reaching enough of us. Just as clearly, it is improving, particularly in the job market. I stress both these themes in my recent testimony before the Joint Economic Committee (JEC). But based on a June spike in the monthly number… Read more
Solid jobs report today, no question. I liked the headline payroll number of 288K, along with the recent acceleration in smoothed job growth you see in the figure here. There’s still too much slack in the job market–that’s the theme of what follows–but the way to squeeze that out is with many more reports like todays…. Read more
Especially not while we’ve got a bit of mo’ in the job market. Over at PostEverything.