It's a vicious cycle. Labor costs and housing prices stay high in geographic areas/economic sectors where the required human resources are high end and/or scarce and/or can't be substituted by automation at an equivalent or lesser cost. Since these areas are also where most of their GDP/profits are generated, inflation is NOT going to come back down until they have a broader and deeper crash that spares no sectors/classes/industries/etc. Also, labor cost increases are not keeping up with broader COL increases, so there's a lot of churn in these sectors with people always on the lookout for external promotion opportunities or jumps into higher-compensating industries/companies even for equivalent roles/seniority.
On the part of the imperialists, it's not strategic in the geopolitical sense. It's purely domestic politics, with the current administration doing the bare minimum of what they think will support their re-election chances.
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