Justin Wolfers Warns Of 'Affordability Crisis' As Real Wages Fall For Sixth Straight Month

Economist Justin Wolfers warns of an 'affordability crisis' as real wages have fallen for six consecutive months, eroding worker gains in 2026. Supply shocks from an escalating war and tariffs are driving inflation faster than wage growth, reducing purchasing power. Financial experts expect the Federal Reserve may hike rates rather than cut them, with core inflation accelerating to 2.9% in May.