The wages vs. inflation horse race
Marketplace
Marketplace
4.6 • 8.5K Ratings
🗓️ 4 July 2024
⏱️ 28 minutes
🧾️ Download transcript
Summary
The May jobs report said wages had risen about 4% over 12 months, while inflation was 3.3% over the same period. Good news, right? Then why did consumer sentiment hit a 7-month low in June? In this episode, other wages-related measurements that might explain that economic pessimism. Plus, a Yale legislation-scoring group focuses on outcomes, and precision agriculture technology adoption is slow.
Transcript
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| 0:59.0 | On the show today, we'll feel all the feels, or at least take a deeper look into how Americans are feeling about the economy. |
| 1:09.0 | Also, we've got Ag Tech, mobile homes, and charcuttary. |
| 1:13.8 | From American public media, July 4th. |
| 1:29.8 | Thanks for tuning in on this holiday. |
| 1:32.2 | All eyes, at least around here, will be on the June jobs |
| 1:36.0 | report tomorrow as the Federal Reserve weighs where it stands on its path to bringing down |
| 1:41.0 | inflation. A cooling labor market, just a reminder, is an unfortunate |
| 1:45.8 | but often necessary piece of making that goal a reality. Another important piece of the puzzle, |
| 1:52.4 | wage growth. It's been tracking ahead of the rate of inflation for the last year. |
| 1:57.0 | As of May, average wages had risen about 4% over 12 months. The consumer price index rose 3.3% over the same period. |
| 2:07.4 | That means worker spending power should be improving. Yet, and this is a big yet. How people feel about the economy doesn't really reflect that. |
| 2:17.0 | Consumer sentiment hit a seven month low in early June, and survey after survey has shown Americans are pessimistic about the economy. |
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