TIM WORSTALL HAS THOUGHTS ON THE ECONOMY, inspired by Bob Herbert:
There was a time, roughly 1980-1995, when 5.4% unemployment would be regarded as a very tight labour market indeed. Indeed, it would be regarded as below the structural norm for the USA and would inevitably lead to wage inflation. We now have a 5.4% unemployment rate and we do not have wage inflation. So, we must conclude that there has been some structural change in the US economy. That’s pretty much one of those “Yeah, Duh” statements.
Bill Clinton is the hero of this story, kind of.