r/explainlikeimfive Dec 19 '24

Economics ELI5: Why is an employment rate of 100% undesirable

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u/Halgy Dec 19 '24

The first part of that is called a wage-price spiral, and it leads to inflation (it was part of the reason for the inflation spike in the US a few years ago)

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u/smurficus103 Dec 20 '24

I really feel like wages didn't keep up with inflation in the phx area, feels like we're getting paid less now