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Subject:  Re: Labor Costs Rising Date:  2/7/2008  1:31 PM
Author:  pauleckler Number:  5160 of 7325

Seems to me that the unspoken fact is that when the Federal Reserve says the word "inflation" what they are really talking about is wage demands.

If wage demands were rising sharply we would be seeing strikes in major industries all over the country.

And that would cause the Feds to get very concerned about inflation.

But we do not hear much about strikes these days. That is probably because threats of outsourcing are being used to keep those wage demands down.

Costs are going up but I would question data suggesting labor costs are a major problem. Demands seem to be not out of line.
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