Let’s start with the labor side. Currently, the supply of available labor is extremely limited. Indeed, the unemployment rate is the lowest it has been in 66 years. That is really saying something. But with so few people out of work, it keeps getting harder for firms to find suitable employees. Job gains, while still decent, have been trending downward, in no small part because the number of job openings exceeds the number of people unemployed: The workers are just not there.