Excerpt from Barron’s quoting DataTrek’s Nick Colas:
…. “One reason Powell can afford to be relaxed is that unemployed Americans continue to return to the workforce. With the labor-force participation rate at 82.4%—below its 2000 peak of 84.5%—there’s still room for another two million people to get jobs, DataTrek co-founder Nicholas Colas wrote in a note last week. “If labor-force participation increases…the Fed can theoretically keep rates lower since marginal labor will keep wage inflation in check,” Colas said. “This also increases the incomes of marginalized Americans who might otherwise not find gainful employment”….
Read the full article here on Barron’s!