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U.S. Heading For Soft Landing?
Ones and Tooze
Is There a Soft Landing in Inflation?
Adam Larry Summers described a soft landing into inflation as being quote, at odds with both economic theory and the empirical evidence. The idea is that if you want to have inflation coming down, you probably need unemployment to go up considerably. And so faced with inflation of the type we were dealing with two or three months ago, heading towards 10%. What we've actually seen is wage inflation, particularly decelerating very fast in the United States.
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