This is a blockbuster report adding 303,000 jobs in March, much higher than anyone expected while average hourly earnings rose only 4.1% from a year ago, the smallest annual gain since June 2021. How is it possible to add so many jobs month after month without wage pressure? It raises questions about how the economy can sustain such a robust addition of jobs month over month without experiencing upward pressure on wages. One plausible explanation is the recent spike in immigration, which could be contributing to this trend. According to estimates by the Congressional Budget Office, the immigrant rose by 3.3 million in 2023, continuing into 2024. This surge has contributed to a notable increase in the labor force by 469,000, one of the highest in recent years.
Does Spike in Immigration Distort Job Picture?
Does Spike in Immigration Distort Job…
Does Spike in Immigration Distort Job Picture?
This is a blockbuster report adding 303,000 jobs in March, much higher than anyone expected while average hourly earnings rose only 4.1% from a year ago, the smallest annual gain since June 2021. How is it possible to add so many jobs month after month without wage pressure? It raises questions about how the economy can sustain such a robust addition of jobs month over month without experiencing upward pressure on wages. One plausible explanation is the recent spike in immigration, which could be contributing to this trend. According to estimates by the Congressional Budget Office, the immigrant rose by 3.3 million in 2023, continuing into 2024. This surge has contributed to a notable increase in the labor force by 469,000, one of the highest in recent years.