Friday, July 12, 2019

ICE MEETING TODAY; AOC, FED CHAIR DISCUSS EMPLOYMENT AND INFLATION

I have been taking a little break from blogging this week. There is an ICEUFT meeting today in Manhattan at 2:30 P.M. I will be attending. Email if you want to come. Maybe we will have some news.

Watching the national news I found AOC's questioning of Fed Chair Jerome Powell to be very interesting. She noted how the Phillips Curve linking lower unemployment with higher inflation no longer seemed valid. She was attempting to move the conversation in a direction to talk about a higher minimum wage but Powell would not go there.

At least some of the reason why even with low unemployment, there is little inflationary pressure has to do with the decline of unions in the USA.  Decoupling low unemployment with higher inflation looks to be happening in many countries so neo-liberal policy of taking away worker power may be succeeding in many places across the globe. Don't get me wrong, I am not calling for runaway inflation, just living wages for working people. Inflation would not get out of control it appears if workers, including teachers, make decent money.

1 comment:

  1. Phillips Curve is dead because the jobs suck mostly today. Low paying mcjobs.

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