The Federal Reserve (Fed) released its Beige Book summary of economic conditions in 12 U.S. districts on Monday, saying the U.S. economy showed a slight to moderate growth in the October-early November period. while the price of goods increased throughout the country due to supply chain stagnation and labor shortage
“Production costs have increased exponentially. This was due to strong demand for raw materials. including logistics problems and the tightness in the labor market Product prices rose moderately to strong. The prices rose in all sectors of the economy. and when considering the overall picture Strong demand has led private companies to raise prices,” the Fed said in its Beige Book report.
The Fed report also stated that While overall economic activity outlook remains positive in most Fed districts. But some entrepreneurs worry about the uncertainty that When will supply chain and labor shortages be alleviated?
The report also stated that Childcare Anxiety, Retirement And safety amid the epidemic of COVID-19 is the cause of the labor shortage problem. While many districts have expressed concern that The federal government’s mandatory vaccination measures could make jobs more difficult.
Fed Chairman Jerome Powell told the House of Representatives Financial Services Committee yesterday that Fed officials to adjust policy to increase US jobs and ensuring that Inflation will not rebound for a long time.
Mr Powell stated that The Fed is keeping an eye on the changing economic situation. and said the Fed would use tools to balance its two goals: Making the United States employ its full potential and create price stability
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