More Kiplinger 9/1/22 ...
DP The Federal Reserve will stay on its current path of interest rate hikes
well into next year, unless a recession intervenes. Jerome Powell, the Fed
chairman, has reiterated his commitment to bringing down inflation, saying it’s
less risky to raise rates for too long than to start easing too early. The Fed
wants the economy to slow, so supply can catch up with demand, allowing price
pressures to ease. While housing is already slowing sharply, Powell is
particularly concerned with the labor market and ongoing worker shortages,
which are pushing up wages. Even when adjusting for an aging population, there
are still roughly 2 million Americans who should be in the labor force but
aren’t
