Signs that inflation pressures in the United States are steadily easing emerged Friday in reports that consumer prices rose in June at their slowest pace in more than two years and that wage growth cooled last quarter.
So great how it cools wages when people need wage increases most. It’s like every time we need to get ahead a little something goes nah… it’s lower class for you forever.
a little something goes nah… it’s lower class for you forever.
That something has a name and it’s called “The Fed”.
Higher unemployment and lower wages is a stated goal of theirs.
Why would they want that?
They don’t, the Fed is sort of the hammer to break glass in case of emergencies, but the legislature has refused to do anything productive or helpful for citizens.
For years the fed just printed money to stave off an economic collapse. The legislative branch bought stock instead of passing laws and regulations.
The Fed isn’t our government, but unfortunately our government isn’t our government anymore either.
no one wants lower wages, but wage increases lead to businesses increasing their prices.
supply shocks aside, there is a negative correlation between inflation and unemployment for a host of complex reasons. so there’s ultimately a trade-off to pick.
unfortunately, the issue is that given businesses also function from the idea that there is such a trade-off, supposing we announce we want to lower unemployment, they raise their prices in anticipation.
it’s a sad system
its also stuck in a real binary type of thinking, assuming things like regulating businesses and redistributing the wealth are impossible. so like no shit when you write the rules around keeping money with the rich, the rich keep the money😲
Mine as well say hey do you wanna burn alive or drown? Sorry its the only trade off we can offer :/
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The point of the interest rate hikes was to take money out of circulation to reduce inflation. A side effect of that is cooling wage increases.
Ideally, we would handle inflation by raising taxes. But good luck passing that without a Senate that has a supermajority of non-Republicans
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link?
No, he did not.
