How Much to Labor Costs Drive Inflation?

Jay Moneypal: Wages tend to be sticky. This is not weird that we're still adding jobs at this point in the cycle. He says wages are getting paid more, but it's not keeping pace with inflation. Dr. Adam Shapiro recently published a study entitled, How Much to Labor Costs Drive Inflation. Jay moneypal: If the Fed keeps obsessing over perceived tightness of the labor market, it will mistakenly keep hiking for the wrong reasons.