How Business May Pay the Price of FOMC Rate Inaction

The video discusses the tradeoffs in monetary policy, focusing on the costs of tightening versus doing nothing. It highlights the risks of inflation and labor market tightening, noting that the Fed is concerned about potential wage increases. The discussion includes an analysis of wage growth and economic indicators, critiquing common measures like average hourly earnings. The video concludes by examining market variability and the challenges in accurately measuring wage growth.

Why is there a concern about wage growth moving from 2% to 4%?

What factors contribute to the stagnation of median wages in America?