(Bloomberg) Bank of England policy maker Megan Greene said borrowing costs will need to remain higher for longer to control inflation and that markets haven’t yet absorbed the message that the natural rate of interest and unemployment has risen since the pandemic.Most Read from BloombergBiden, Xi Declare Progress After Concluding Four-Hour SummitHamas Chief Who Deceived Israel Is Target No. 1 Deep UndergroundIsrael Latest: Biden Defends Hospital Raid, Says Hamas UnbowedXi Says China Seeks to
(Bloomberg) Two Bank of England policy makers said Britain’s tight labor market is feeding a wage-price spiral, with one suggesting that unemployment may need to hit as high as 6% to tame inflationary pressures.Most Read from BloombergAmazon’s Jeff Bezos Announces Move to Miami From SeattleSam Bankman-Fried Convicted of Fraud in Stunning FTX CrashHedge Fund Executive’s Sudden Death Exposes a Firm Deep in TroubleIsrael’s Fight With Iran Proxies in Syria Poisons Russia TiesWall Street Bulls Che
The government used pre-pandemic data from the Periodic Labour Force Survey and relied on indicators that are not directly linked to employment generation.