Seeds Have Been Sown for a US Credit Crunch: Poole

The video discusses the upcoming FOMC meeting, where a 0.25% rate hike is expected. The Fed is likely to express caution due to banking challenges, maintaining a bias towards hiking while monitoring data. Market reactions include a collapse in the two-year yield, with rate cuts being priced in. The risk of a Minsky moment is considered, with potential long-term economic impacts. Over the next 6-12 months, a recession is likely, following a credit crunch pathway, leading to tighter credit conditions and higher unemployment.

What does the text imply about the future of labor hoarding?

What potential economic scenario is suggested in the text regarding unemployment in the US?