ADP Beat Is Sign of Labor Slack, Says Danny Blanchflower

The video discusses the relationship between the ADP report and payroll numbers, noting a low correlation but highlighting significant figures. It analyzes labor market data, including unemployment trends and wage growth, emphasizing the importance of weekly earnings. The discussion extends to labor market slack, estimating a gap of 8-9 million jobs from full employment, and critiques the Federal Reserve's perspective, suggesting a closer alignment with Donald Trump's views on labor market realities.

What is the relationship between the ADP report and payroll numbers?

• They are inversely correlated.

• There is a limited correlation.

• There is no correlation.

• They are highly correlated.

Which part of the data release was strong according to the transcript?

• Neither part

• Household part

• Establishment Survey

• Both parts

What aspect of wage growth is emphasized in the transcript?

• Hourly wage rates

• Annual salary figures

• Monthly bonuses

• Weekly earnings figures

How many jobs are estimated to be needed for full employment?

• 10 to 11 million

• 5 to 6 million

• 8 to 9 million

• 2 to 3 million

Who is suggested to have a more accurate view of the labor market slack?

• Donald Trump

• Wall Street Analysts

• The Federal Reserve

• The Labor Department