I have seen global estimates from the World Economic Forum that some 60 percent of the world population, within the next couple of decades, will live in cities with populations greater than 10 million people, many of these in current Emerging Market nations. The challenges this brings to resources, infrastructure, and social cohesion are immense – unprecedented. And we complain about Auckland traffic.
Despite these substantial gains, we cannot yet, in my judgment, declare that the labor market has reached full employment. Let me describe the basis for that view. To begin with, I believe that a significant number of individuals now classified as out of the labor force would find and accept jobs in an even stronger labor market.