Fed Williams: The current labor force growth is mostly a rebound, and the unemployment rate may rise next year

Fed Williams said in an interview with The New York Times that he wanted to emphasize that a lot of the labor force growth that people have seen in the past year or so has been a rebound, a sign of a return to strong labor market conditions after the epidemic, but this It is impossible to continue every year.

For fundamentals to return to more normal levels, job growth would need to fall back to levels in line with the underlying labor force, which is much lower than it is today.

As for the unemployment rate, he expects to return to a more normal level and may rise above 4% next year, but this will depend on a variety of factors.