Why Global Wage Growth Remains Weak

The video discusses global economic challenges, focusing on labor market trends and wage growth issues. It highlights the impact of cyclical and structural factors, such as the financial crisis, technology, and globalization, on wages. The role of productivity and the aging population in shaping labor market dynamics is also explored, emphasizing the loss of bargaining power among older workers.

What is a major issue faced by central banks globally this year?

• High unemployment rates

• Stagnant salary growth despite low unemployment

• Excessive wage growth

• Deflation in all countries

What is one of the cyclical factors affecting wage growth?

• High demand for labor

• The rise of new industries

• Aftermath of the financial crisis

• Increased productivity

How has technology impacted the global labor market?

• It has decreased competition

• It has reduced the need for skilled workers

• It has led to more job opportunities in all sectors

• It has increased competition and automation

What is one reason older workers are losing bargaining power?

• They have more experience

• They demand higher wages

• They are more adaptable to new technologies

• They lack skills relevant to new technologies

What demographic change is affecting the labor market?

• Younger retirement age

• Decreasing life expectancy

• Aging population

• Increasing birth rates