• SCB@lemmy.world
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    1 year ago

    Fed is hiking rates to make borrowing less attractive which hurts new job growth and limits expansion.

    The inflexible labor market is a result of demand for labor vastly exceeding supply, largely due to shitloads of people cashing out and retiring during COVID, and the Fed is getting that closer to parity.

    I say “getting closer to parity” because we’re still adding hundreds of thousands of jobs per month on net in a market that is as favorable to labor as any in around 80 years.