Inflation outpacing wage growth cuts into US purchasing power
US consumer prices rose 3.4% in August as average hourly earnings increased 3.1%, according to figures reported by CNBC.
Markets heavily priced a September Fed increase, but July’s 9-3 hold and differing views on inflation left Kevin Warsh with uncertain support.
Sarah Jenkins
Chief Macro Economics Correspondent
US consumer prices rose 3.4% in August as average hourly earnings increased 3.1%, according to figures reported by CNBC.
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A teaching note compares how loanable funds and portfolio balance explain deficit-driven rate rises and private-investment pressure.
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