(Reuters) - Inflation is at risk of becoming entrenched in the economy from an overheated job market, making it difficult for the Federal Reserve to bring down inflation without a recession, Kansas City Federal Reserve President Esther George told the Wall Street Journal.
"I'm looking at a labor market that is so tight, I don't know how you continue to bring this level of inflation down without having some real slowing, and maybe we even have contraction in the economy to get there," George told the newspaper in an interview published on Wednesday.