Federal Reserve Chair Janet Yellen wants to rope more Americansinto the workforce before raising interest rates. That'smaking some of her colleagues nervous. They worry the labor marketcould overheat, forcing policy makers to raise rates much morequickly and trip the economy into a new recession.

Inflation will ultimately decide who is right, and, by severalmeasures, it's going up.

The Fed's preferred gauge of price pressures, PCE inflation, was1.7 percent in the 12 months through August after stripping outvolatile food and energy components. That's still below the Fed's 2percent target, but the highest it's been in two years. Theconsumer price index was 2.3 percent. Both show a decided, ifgentle, upward trend.