Sentences with phrase «in labor market slack»

The message was driven home further by Fed Chair Janet Yellen, who in a congressional hearing in early November asserted that the downside risks to the US economy from global developments had diminished since September and that there has been a significant fall in labor market slack.

The four - week moving average of continuing claims fell 750, to 1.90 million, the lowest level since Jan. 12, 1974, suggesting a continued decline in labor market slack.

Not exact matches

Whatever the reason for the elevated slack in the U.S. labor market, one obvious solution would be faster economic, productivity, and wage growth.

If this attribution were correct, there would be little labor market slack left in the US economy, and the standard unemployment rate (minus the best - guess nonaccelerating inflation rate of unemployment [NAIRU]-RRB- would be a nearly sufficient target for that slack.

«And at this stage of the game, with inflation BELOW target and plenty of slack in labor markets, that could very well be a mistake.

At the same time, Janet Yellen has said that she's willing to tolerate a period of time in which inflation is above the Fed's 2 % goal, if that stance can help guarantee that slack is eliminated from the labor market and full employment is achieved.

A 14 - year low on jobless claims reinforced expectations that slack in the labor market was being reduced.

A key measure of labor market slack - the number of job seekers for every open position - hit its lowest level since 2007 in December.

Details of the employment report were upbeat, with most of the measures Fed Chair Janet Yellen tracks to gauge the amount of slack in the labor market showing further improvement.

She said: «But it is my judgment that the lower level of the unemployment rate today probably does not fully capture the extent of slack remaining in the labor market — in other words, how far away we are from a full - employment economy.»

Other factors that have been suggested include continued labor - market slack; lagging educational attainment relative to other countries; and a broad decline in better - paying jobs and consequent shift toward job growth in low - wage industries.

If the economy were to grow at the pace I discussed earlier, this would likely translate into sufficient job gains to continue to remove any remaining slack in the labor market — which, by my assessment, is already operating quite close to a level that is consistent with what is achievable on a sustainable basis.

But even 150,000 job gains per month would be consistent with gradually using up any remaining slack present in the U.S. labor market.

We've also still got slack in the labor market — put all of these factors together and we're a few years behind the US on rates.»

This potential relaxation of fiscal constraints is significant, particularly when you consider that the economy, specifically the labor market, has less slack than at any point in the post-crisis period.

Our analysis leverages data from the U.S. Census and Bureau of Labor Statistics to determine how much new housing a metro can build, the amount of slack in the housing market and the impact of an influx of high - wage workers.

With an energy - related rebound in inflation fading, signs of improving economic conditions need to be put into perspective, as the output gap across the region as a whole remains large, and so does the slack in its labor market.

With an energy - related rebound in inflation fading, signs of improving economic conditions need to be put into perspective — despite the strong performance of Germany, the bloc's largest economy — as the output gap across the region as a whole remains large, and so does the slack in its labor market.

If growth in America is accelerating, which it seems to be, and any remaining slack in the labor markets is disappearing — and wages start going up, as do commodity prices — then it is not an unreasonable possibility that inflation could go higher than people might expect.

Economist Jessica Hinds at Capital Economics said there is «still plenty of slack in the labor market» with high jobless rates of 16.1 percent in Spain, 10.9 percent in Italy and 8.9 percent in France.

A broader measure of labor market slack, the number of people who are in part - time employment but would like a full - time position (the U-6 underemployment rate), has also been drifting lower (to 10.3 % in August).

But the prescription offered by the Taylor rule changes significantly if one instead assumes, as I do, that appreciable slack still remains in the labor market, and that the economy's equilibrium real federal funds rate — that is, the real rate consistent with the economy achieving maximum employment and price stability over the medium term — is currently quite low by historical standards.

Its elevated level suggests that slack remains in the labor market that could prevent wages from breaking out.

With the unemployment rate down to just 4.1 %, any increase in wages as a share of GDP should be expected to diminish profit margins from the extremes they've enjoyed as a result of labor market slack in this cycle.

The pace of wage growth has been restrained amid excess slack in the labor markets, but the labor force participation rate has recently stabilized and labor markets are currently nearing full employment, supporting core inflation.

We analyzed data from the U.S. Census and Bureau of Labor Statistics to determine how much new housing a metro can build, the amount of slack in the housing market and the impact of an influx of high - wage workers.