Introduces Claudia Sahm and sets up debate: Jason Furman argued against cuts due to inflation/deficit pressures, others more dovish.
speaker1
Claudia Sahm
Supports Fed cutting again today as appropriate insurance against labor market deterioration.
Claudia Sahm
Downside risks to employment are more substantial than upside risks to inflation.
Questions whether job cutting is due to COVID overhiring, outmigration, or AI disruption - issues Fed shouldn't react to.
speaker1
Claudia Sahm
Weakening demand for labor is taking over, evidenced by slowing wage growth and rising unemployment.