Groundwork’s Lindsay Owens Calls for Immediate Rate Cuts

Groundwork’s Lindsay Owens Calls for Immediate Rate Cuts: "You don't fight inflation on the backs of American workers."

Ahead of Chair Powell’s final speech of the year and following yet another month of cooling inflation, Groundwork’s Executive Director Lindsay Owens shared the following statement:

“As 2023 closes with both inflation and unemployment under 4%, we can finally put a dangerous macroeconomic myth to bed. You don’t fight inflation on the backs of American workers.

“Those who insisted we’d need mass joblessness to bring down prices were wrong. We never had to choose between low prices and low unemployment. And now we have both.

“Chair Powell must course-correct. The time for rate cuts is now.”

Email press@groundworkcollaborative.org to speak with Lindsay Owens about what we can expect from the Federal Reserve today. 

Background

• In June 2022, Larry Summers stated in a speech that “we need five years of unemployment above 5% to contain inflation – in other words, we need two years of 7.5% unemployment or five years of 6% unemployment or one year of 10% unemployment.” That would mean nearly 17 million people out of work.

• Lindsay Owens responded to Summers on Pod Save America, saying “Americans should be incredibly wary of folks selling unemployment as the cure for inflation…That is a cure worse than the disease – plain and simple. And it’s a false choice. We don’t have to choose between low prices and low unemployment – we can have both.”