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People are going to get hurt whatever you do. Inflation driving up wages is going to suppress investment and hurt jobs as well. Arguably increasing interest rat
by simonh 4y ago
People are going to get hurt whatever you do. Inflation driving up wages is going to suppress investment and hurt jobs as well. Arguably increasing interest rates suppresses all forms of investment, and thus demand. High wage increases not only directly feedback loops into higher inflation due to higher labour costs, but also specifically hits employment.
- throwaway4aday 4y agoYes, I'm not saying they're doing the wrong thing. I was explaining why the parent comment was wrong to gripe about wages since that's the whole point.