{"id":1743719,"date":"2022-11-18T10:32:49","date_gmt":"2022-11-18T15:32:49","guid":{"rendered":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/?p=1743719"},"modified":"2022-11-18T10:32:53","modified_gmt":"2022-11-18T15:32:53","slug":"fed-governor-implies-employers-should-slow-down-wage-increases","status":"publish","type":"post","link":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/fed-governor-implies-employers-should-slow-down-wage-increases\/","title":{"rendered":"Fed Governor Implies Employers Should Slow Down Wage Increases"},"content":{"rendered":"<aside class=\"mashsb-container mashsb-main mashsb-stretched\"><div class=\"mashsb-box\"><div class=\"mashsb-count mash-medium\" style=\"&quot;\"><div class=\"counts mashsbcount\">18<\/div><span class=\"mashsb-sharetext\">SHARES<\/span><\/div><div class=\"mashsb-buttons\"><a class=\"mashicon-facebook mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/www.facebook.com\/sharer.php?u=https%3A%2F%2Fwww.conservativenewsdaily.net%2Fbreaking-news%2Ffed-governor-implies-employers-should-slow-down-wage-increases%2F\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Facebook<\/span><\/a><a class=\"mashicon-twitter mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/twitter.com\/intent\/tweet?text=&amp;url=https:\/\/www.conservativenewsdaily.net\/breaking-news\/?p=1743719&amp;via=ConservNewsDly\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Twitter<\/span><\/a><a class=\"mashicon-subscribe mash-medium mash-nomargin mashsb-noshadow\" href=\"#\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Subscribe<\/span><\/a><div class=\"onoffswitch2 mash-medium mashsb-noshadow\" style=\"display:none\"><\/div><\/div>\n            <\/div>\n                <div style=\"clear:both\"><\/div><\/aside>\n            <!-- Share buttons by mashshare.net - Version: 4.0.47--><p>Speaking at the 59th Annual Economic Forecast Luncheon in Phoenix, Arizona, Federal Reserve Governor Christopher Waller <a href=\"https:\/\/www.federalreserve.gov\/newsevents\/speech\/waller20221116a.htm\" target=\"_blank\" rel=\"noopener\">implied<\/a> that employers should slow down any wage increases they hand out so that the American economy can temper inflation.<\/p>\n<p>Waller warned that the economic growth in the third quarter the first half of the year had experienced economic doldrums was only temporary, and that \u201cweak growth has returned in the last quarter of this year and will persist into 2023.\u201d He surmised that because consumer and business spending had softened and Americans had voiced near-record-low consumer attitudes vis-\u00e0-vis the economy because of high inflation.<\/p>\n<p>Yet he championed the slowing growth, calling it \u201cabsolutely necessary to bring inflation down to our 2 percent target\u201d while crediting the Federal Reserve\u2019s actions as the cause, using as an example the housing market, which has been hit hard by rising interest rates.<\/p>\n<p>\u201cHousing may be the first but won\u2019t be the last sector of the economy where higher interest rates will have the effect of dampening demand and will ultimately help moderate price increases,\u201d he asserted.<\/p>\n<p>Then he turned to the labor market, acknowledging, \u201cThere are almost two jobs for every person looking for work. Wages have been rising more quickly than they have in decades \u2026\u201d<\/p>\n<p>\u201cWe are starting to see some tentative signs of a moderation in wage growth,\u201d Waller pronounced, before giving his implicit warning to employers: \u201cWage growth has been a contributing factor to inflation, especially in the service sector, so it is important to get the labor market into better balance to bring future wage growth down to a more sustainable level that will assist in moving overall inflation lower.\u201d<\/p>\n<p>In March 2022, Fed Chair Jerome Powell <a href=\"https:\/\/www.bloomberg.com\/news\/articles\/2022-03-17\/powell-treads-tricky-path-in-saying-wages-are-rising-too-fast\" target=\"_blank\" rel=\"noopener\">offered a similar message<\/a> regarding wage hikes, saying, \u201cThe promise of wages moving up is a great thing. But the increases are running at levels that are well above what would be consistent with our 2% inflation goal over time.\u201d<\/p>\n<p>In May, Powell <a href=\"https:\/\/www.wsj.com\/articles\/transcript-fed-chief-powells-postmeeting-press-conference-11651696613\" target=\"_blank\" rel=\"noopener\">commented,<\/a> \u201cWages are rising at the fastest pace in many years,\u201d also declaring, \u201cIn principle, it seems as though, by moderating demand, we could see vacancies come down, and as a result\u2014and they could come down fairly significantly and I think put supply and demand at least closer together than they are, and that that would give us a chance to have lower\u2014to get inflation\u2014to get wages down and then get inflation down without having to slow the economy and have a recession and have unemployment rise materially.\u201d<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Speaking at the 59th Annual Economic Forecast Luncheon in Phoenix, Arizona, Federal Reserve Governor Christopher Waller implied that employers should slow down any wage increases they hand out so that the American economy can temper inflation. Waller warned that the economic growth in the third quarter the first half of the year had experienced economic &#8230;<\/p>\n","protected":false},"author":60,"featured_media":1743722,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_mo_disable_npp":"","fifu_image_url":"https:\/\/cndimages.nyc3.digitaloceanspaces.com\/breaking-news\/wp-content\/uploads\/2021\/01\/IMG_2758-scaled-1.jpg","fifu_image_alt":"","footnotes":""},"categories":[541],"tags":[],"class_list":["post-1743719","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-the-daily-wire"],"fifu_image_url":"https:\/\/cndimages.nyc3.digitaloceanspaces.com\/breaking-news\/wp-content\/uploads\/2021\/01\/IMG_2758-scaled-1.jpg","_links":{"self":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/1743719","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/users\/60"}],"replies":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/comments?post=1743719"}],"version-history":[{"count":0,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/1743719\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media\/1743722"}],"wp:attachment":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media?parent=1743719"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/categories?post=1743719"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/tags?post=1743719"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}