Clearly wage inflation has been stubborn, but we’re hardly experiencing anything resembling a crash.
If by “they” you mean the Fed, then yes, they’ve kept short-term rates high, which of course is prudent to slow down inflation.
No it hasn’t crashed. Perhaps I was being dramatic for effect. But they wanted to reduce inflation. The fed only has a couple of tools to work with so they are trying to cool demand. The proper way to reduce inflation is to create more competition and greater supply of goods and services. We’ve been moving in the wrong direction on that for decades in just about every economic sector. The bulk of the problem is political and regulatory.