After a long period of solid economic growth, we have approached what for practical purposes can be called full capacity, at least for the moment. The evidence for this is quite widespread. In the labour market, we are as fully employed as we have been at any time in the past 30 years or more.
The share of the working age population employed is at a record high, the rate of unemployment is at its lowest for a generation, and wider measures of ‘underemployment’ are also comparatively low.