RBC Chief Economist Sees Full Employment by Mid-2021

The transcript discusses the economic outlook for December and January, highlighting potential declines due to state shutdowns. It covers job market recovery, labor tightness, and the transformation of the labor force due to technological changes. The discussion includes job openings, economic recovery, and the Federal Reserve's policy on interest rates. The service sector's inflation and economic projections are also analyzed.

What is the expected trend for employment reports in December and January according to the discussion?

• Rapid increase

• Stable growth

• Potential decline

• Significant improvement

By when is the labor market expected to return to full employment?

• Late 2022

• End of 2021

• Mid-2021

• Early 2022

What is a significant challenge in the labor market as discussed in the video?

• High executive turnover

• Excessive job applications

• Lack of job openings

• Labor tightness

What transformation is occurring in the labor force according to the discussion?

• Increase in manual labor

• Move towards technological roles

• Decline in service sector jobs

• Shift to agricultural jobs

What is the Federal Reserve's stance on interest rates as discussed?

• Rates may increase in 2022

• Rates will decrease in 2021

• Rates will remain unchanged until 2025

• Rates will increase in 2023

What is a potential issue with the Fed's outcome-based guidance?

• It is too specific

• It lacks clear objectives

• It is overly optimistic

• It is too rigid

What is the expected inflation trend for the service sector?

• Stabilize at 2%

• Increase to 5%

• Remain around 3%

• Decrease to 1%