And going back to where we started this video, in terms of capacity utilization and what that might do to prices, this tells us that labor utilization is

Filesystem Utilization Viewer

So the orange line is utilization. Up here we had like 90 utilization.

Low utilization, prices will decrease.

So up here this is 90 utilization and then down here this is 70 utilization.

Capacity utilization is driven by demand.

This orange line represents capacity utilization.

He's only running at 25 utilization.

labor force participation.

And capacity utilization had really preceded that.

My labor has started.

labor is going down.

Manual labor is expensive.

I'm fully utilized, right? I have 100 utilization.

Machinery dispenses with much labor.

We had a heavy labor.

My daughter is in labor.

Efficient machinery replaced manual labor.

That's labor, ideas, land, resources.

And this is child labor.

And with the labor pain,

My answer is, just watch the capacity utilization numbers.

Capacity utilization drives inflation. We can all buy that.

Let's say it has a slight impact on utilization.

Low utilization, you have kind of the opposite situation.

Learning without thought is labor lost.

They will organize a labor union.

The labor union called a strike.

The labor union announced a strike.

Intelligent equipment has replaced manual labor.

I'm not fit for physical labor.

Jim was afraid of physical labor.

She's having labor pains. Oh, great.

It's a big labor intensive effort.

So, they stopped having inexpensive labor.

But it was very labor intensive.

They are labor intensive and inefficient.

Second, there's a division of labor.

So high utilization of capacity, it leads to prices increasing.

So we're all tapped out, we're at 100 capacity utilization.

So those are the two side effects of high utilization.

And the traditional notion of capacity utilization, and this is what my brain does when someone mentions it, is I think of industrial capacity utilization.

So you have the situation now, where you have low utilization.

And notice, it was preceded by an uptick in capacity utilization.

On top of that, if they get close to fully utilization,