[gruez]

>But in this case the Fed is quite clearly aiming to orchestrate a spike in the unemployment rate

While this might be technically true in the sense that they're trying to fight inflation by tightening monetary policy, and that has the effect of slowing economic activity and driving up unemployment, I dislike the framing because it implies that the fed wants to high unemployment as some sort of end goal, as if they have some sort of diabolical agenda to oppress workers or whatever.

[adam_arthur]

They have to spike unemployment to lower wage pressures, thats it.

The Fed has to do this because they vastly overstimulated. It was entirely avoidable if responsible policy had been pursued

The people who make it into a bleeding heart kind of issue are largely misguided, and don’t understand the distinction between real and nominal. Real wages have been declining at the fastest pace in history yet they point to nominal numbers like its some victory