Joblosses are explained in terms of reallocation, search and supply. The Fed is worried that many of the jobs lost will not be coming back.
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Consumer spending comes back 'with a vengeance' in May
Despite a recent jump in retail sales, a decline in spending by the wealthy could contribute to an economic slowdown. Researchers tracking spending patterns using credit card data found that people at the bottom of the income bracket are spending nearly as much as before the pandemic, while the wealthy are not matching them.