![]() ![]() Minneapolis Fed President Narayana Kocherlakota and some other policymakers argue, consequently, for delaying rate hikes until at least next year. ![]() Others point to the tepid pace of wage growth, low labor force participation, and other data as evidence of continued slack. But "we have been persistently falling below two percent (inflation).If you want price stability the best thing you can do is push employment to its maximum." "One view would be to say.Maybe we are done," absorbing part-time labor, Levin said. Until inflation starts to rise, he said, there is still room for involuntary part-time work to fall. The question is whether that potential involves millions more workers or the roughly 900,000 that would bring part-time levels back to their average since the 1970s - a target that may be just a few months away.Īndrew Levin, a former Fed economist and now a research fellow at the International Monetary Fund, argued in a recent paper that the economy's performance from 1994 to just before the recession was an appropriate yardstick and suggested a substantial "underemployment gap." Between 19 the involuntary part-time workers - those whose hours were cut or who could only find part-time work - made up about 3 percent of those employed. "It adds up to a liveable wage," says the mother of three.įed officials and economists generally agree that more of the current part-timers could move into full-time jobs. She limits her work to 16 hours a week in a hair salon to stay under the federal $1,090 monthly earnings limit for social security disability recipients. (Graphic: anatomy of part-timers: /qez54w)įed governor Jerome Powell in a recent speech in New York said present levels of part-time work could well be a "new normal" because of the scars of the Great Recession/įor Michelle Paradis, 34, one of about 11,000 workers who responded to the Reuters/Ipsos poll, part-time work was neither quite an independent choice nor a clear sign of economic slack. While he said he regards the more than 6 million people who work "part-time for economic reasons" as too many, he is not sure how low the figure can go. "Some industries are moving towards more of a part time model," Atlanta Fed president Dennis Lockhart said this month. Some Fed officials say higher levels of part-time work might be the new norm because of changes in employment patterns. "It is striking how stable the relationships have been," said Ariane Hegewisch, a research director at the Institute for Women's Policy Research in Washington.Īs it analyzes the steady fall in those forced into part-time work by the weak economy, the Federal Reserve now must judge whether the tight labor markets of the 1990s and early 2000s remain a good benchmark. ![]()
0 Comments
Leave a Reply. |
AuthorWrite something about yourself. No need to be fancy, just an overview. ArchivesCategories |