In an unprecedented economic recovery, why are we only talking about inflation?

The latest jobs report shows that the U.S. economy continues its rapid recovery from the pandemic crisis. Employers added 428,000 new jobs in April, continuing a now-year-long streak of similarly strong job growth. After surging to a post-World War II high of 14.7% in 2020, unemployment is now down to 3.6%, the lowest level in 50 years.

The employment data mirror other indicators of our strong recovery. Private consumption and business investment have almost completely returned to pre-2020 trends, and household income and wages — even controlling for inflation — are higher now than they were in 2019. Labor force participation, which had fallen from 63.4% to 60.2% in early 2020, has risen again to 62.2%.

The speed and scale of this recovery is without precedent in American history.

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