U.S. Wage Growth at Post-Recession High

The video discusses the recent trends in wage growth, highlighting the Atlanta Fed's wage growth tracker, which shows significant increases in median and low-wage jobs. It examines the implications of these trends on GDP growth and inflation, suggesting that while wage growth is improving, it has not yet reached 'escape velocity' to significantly boost GDP. The discussion also covers the Federal Reserve's considerations on interest rates, balancing between allowing the economy to run hot and avoiding excessive inflation. The Fed's strategy involves gradual rate increases to manage economic growth without causing market disruptions.

What changes are being observed in wage growth according to the Atlanta Fed?

How does the current wage growth compare to the pre-recession averages?

What is the potential growth rate mentioned in the text, and how does it relate to GDP growth?

What concerns are raised regarding inflation and wage growth?

What is the stance of Fed policymakers on raising rates, and what factors influence their decision?