I confess to following the Beige Book lately for mostly entertainment purposes. It was always an exercise in intellectual vanity, an opportunity for Fed Presidents to cram into it their own biases. But to see the FOMC just abandon the LABOR SHORTAGE!!! like they have, that’s not strictly about amusement; though it is to some degree morbidly satisfying just how obviously lacking in conviction they’ve been.
The economy was in danger of overheating, they said.
The latest volume for July 2019 contains but three references to the “labor shortage.” That’s down another one from the past few, and from fourteen (!!!) last September at what was the inglorious height of inflation hysteria. How about that? The Beige Book as involuntary, indirect evidence for the landmine.
As labor shortage anecdotesRead More »