Milken's William Lee Says Phillips Curve Is Busted

The video discusses the importance of understanding both soft and hard data in economic analysis, particularly in relation to labor market trends and inflation. It highlights the discrepancy between job openings and actual hiring, emphasizing the need for specialized skills. The discussion also covers the Federal Reserve's gradual approach to inflation and critiques the reliance on certain economic indicators.

What is the main argument against relying solely on soft data for economic predictions?

• Soft data is based on feelings and not hard evidence.

• Soft data is the only source of economic predictions.

• Soft data is more reliable than hard data.

• Soft data is always accurate.

What is the main issue with the current labor market according to the transcript?

• The labor market is too competitive.

• Wages are increasing rapidly.

• There is a lack of hiring despite job openings.

• There are too many job openings.

In which sectors is there a willingness to pay higher wages?

• Retail and hospitality

• Manufacturing and agriculture

• Housing and specialized skills

• Technology and finance

What is the Fed's approach to inflation over the next two years?

• A decrease to 1%

• A gradual increase to 2%

• No change in inflation rates

• A rapid increase to 5%

Which economic indicator is criticized as being the wrong number to focus on?

• Unemployment rate

• 4.3% wage growth

• Job openings

• Inflation rate