Quote:
Originally Posted by bizaro86
More jobs with no change in unemployment implies a change in the labour force, probably by increased participation.
Economic growth from people who weren't previously working (maybe because of covid concerns?) seems like a good thing to me and is likely not inflationary.
Increased labour force participation could also be a symptom of inflation (eg some people who didn't need to work before like stay-at-home parents or seniors) getting jobs to cope with the increased cost of living. That seems less positive to me, but is still disinflationary.
Edited to add: immigration is probably also increasing the size of the labour force. Not sure how that affects inflation. Probably disinflationary to wages and inflationary to housing.
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anecdotally, I just hired someone who exited the labor market 3 years ago and just decided to re-enter. So I at least contributed 1 number out of 150,000 that contributed to your original thought.