Yellen Bet on Pulling Workers Back to Labor Force Is Paying Off
- People are flowing en masse from out-of-labor-force to jobs
- Shadow slack may be factor holding down wage gains, inflation
What the June Jobs Report Means for the Fed and Bonds
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Even as U.S. unemployment crept lower in recent years, Federal Reserve Chair Janet Yellen stuck with a glacial pace of policy tightening that she justified with a powerful message: there were still millions of potential workers to pull in from the labor market’s sidelines.
The latest news from the labor market is proving her right.