Job growth has slowed sharply; the question is why
After an avalanche of data last week, there are more signs of a slowing economy. Real GDP rose modestly in the first half, and inflation started to drift up. The labor market was the last piece to fall in line, and it did with a bang on Friday. Job growth slowed sharply starting in May (including large downward revisions in May and June), and the unemployment rate increased in July. It’s a complicated mix of supply and demand shocks, but an unsurprising outcome given the significant policy chang