Fed's Lockhart: Hard to Connect U.S. Growth, Employment

The transcript discusses the current state of the labor market, highlighting the discrepancy between strong job numbers and weak GDP growth. It questions the quality of jobs, noting a shift towards part-time and lower-skilled positions. The conversation explores the concept of full employment and economic slack, and the challenge of reconciling robust employment data with weak economic growth. A metaphor of a 'Wile E. Coyote labor market' is used to illustrate potential instability, and the discussion concludes with a comparison of the reliability of employment versus GDP data.

What is a concern raised about the current job market despite strong employment numbers?

• The decrease in job opportunities

• The prevalence of part-time and lower-skilled jobs

• The rise in unemployment rate

• The increase in high-skilled jobs

What is the Federal Reserve's objective mentioned in the discussion?

• Increasing GDP growth to 5%

• Achieving full employment

• Decreasing interest rates

• Reducing inflation to zero

What is the contradiction discussed between employment and GDP growth?

• High GDP growth with low employment

• Robust employment numbers with weak GDP growth

• Strong GDP growth with decreasing job numbers

• Low GDP growth with high inflation

What metaphor is used to describe the potential instability of the labor market?

• A house of cards

• A Wile E. Coyote labor market

• A ticking time bomb

• A roller coaster

Which economic indicator is considered to estimate a larger phenomenon than employment?

• Gross Domestic Product (GDP)

• Unemployment Rate

• Interest Rates

• Consumer Price Index