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You have ‘em. I know you do.
Can you demonstrate them? Do you know which ones to shine the light on?
It’s important. Always. Just more important now.
Inflation is hovering around 6%.
Unemployment is roughly 3.6%.
Our US Fed is trying to manage inflation by raising interest rates.
We’re trying the disinflation thing which means a slowdown in the rate of inflation even though inflation is still positive.
The last 10 times this happened, for every 2% reduction in inflation, unemployment went up 3.6%. (That’s a historical fact.)
It’s linear-ish, so each 2% drop in inflation means 3.6% increase in unemployment.
So, let’s carry a few numbers.
That means if we want to get back down to ~ 2% inflation, we might be adding 7.2% to the unemployment rate = 10.8%.
I bet when you opened my newsletter you didn’t think you’d be getting an econ lesson!
You have me. You read my stuff. You prolly watch my videos and join my live shows.
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Andrew LaCivita is a world-leading career and leadership coach and award-winning author of Interview Intervention and The Hiring Prophecies. Throughout his career, he has helped 350 companies and over 60,000 individuals across 100 countries realize their potential. He frequently serves as a trusted media resource for outlets such as ABC, Fox Business, and Business Insider. You can join him at the milewalk Academy and catch him weekly for free Live Office Hours on his YouTube Channel.
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