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The Federal Reserve (FED) Bullhorn: For the Federal Reserve, slower employment growth may not signal economic weakness.
[The Federal Reserve (FED) Mouthpiece: Slow Employment Growth May Not Signal Economic Weakness for The Federal Reserve (FED)] "The Federal Reserve (FED) Mouthpiece" Nick Timiraos wrote that Federal Reserve (FED) officials indicated that when assessing whether labor demand is slowing, they may pay more attention to the unemployment rate rather than employment growth. The reason is that they expect employment growth to naturally slow as tighter border controls lead to a decrease in the number of available workers. When employment growth slows while the unemployment rate remains stable, it may indicate that the decline in labor supply is occurring faster than the decline in demand. The bottom line for the Federal Reserve (FED) is: as long as the unemployment rate remains at current levels, the Federal Reserve (FED) will not necessarily be concerned about a slowdown in employment growth. ( Jin10 )