Miller likened the Fed's situation to trying to land a plane on an aircraft carrier with a runway that is too short. The Fed must be precise to navigate a "soft landing" for the economy.

The economy continues to suffer from rising prices, as prolonged effects from the pandemic and now the war in Ukraine, contribute to global supply chain issues.

DETR's revised estimates highlight how Nevada's hard-hit economy made major improvements last year, fueled by nation-leading job growth that resulted in a 5-point drop in the state's unemployment rate.

As consumer spending increased last year, the heightened demand and limited supply — caused in part by shipping challenges — led to an increase in the prices of goods.

The rate of workers quitting their jobs has continued to rise — in October, the latest month with state-level job turnover data available, Nevada ranked seventh for its rate of job separations and third for rate of quits.

That trend has continued in the 2022 fiscal year, which began on July 1, as year-to-date revenues have outperformed Economic Forum projections by more than $360 million.

Miller said he does expect the higher inflation rate to be short-lived, but said he does not know whether that means six months or two years. As supply chain issues subside, Miller said it may be clearer how inflation is changing by early next year.

In September, Nevada's headline unemployment rate declined slightly from the past two months, falling from 7.7 percent to 7.5 percent — a mark that ranked last among all 50 states for the third straight month.

In August, Nevada's unemployment rate remained unchanged from the previous month at 7.7 percent, ranking 50th among all 50 states, as it has throughout the majority of the pandemic.