Most companies can't easily set labor prices on the spot market - it's hard to even imagine a business saying "it's easier to find workers now so I'm cutting ev

Most companies can't easily set labor prices on the spot market - it's hard to even imagine a business saying "it's easier to find workers now so I'm cutting everyone's pay 20%". So even if there can't be long-term shortages (and I'm very sympathetic to that argument), it's easy to have a situation where employers structurally can't pay a temporarily increased market-clearing price.