Don’t forget Fed Quantitative easing that inject a ton in as well.

https://www.brookings.edu/articles/fed-response-to-covid19/

A lot of things were going on in the early 2020s that at least anecdotally seem to have disproportionately affected software jobs so I’m skeptical it’s purely an interest rate phenomenon. But the consensus does seem to be that software has gone from being a ridiculously easy job market by professional job standards to at least a moderately challenging one.

Software in the US has (aside from maybe finance) been an almost uniquely well-compensated field. That will probably adjust over time especially given the inflow of grads primarily in it for the money.

>A lot of things were going on in the early 2020s that at least anecdotally seem to have disproportionately affected software jobs so I’m skeptical it’s purely an interest rate phenomenon.

Software industry was over hiring probably ever since dot-com bubble because after the bubble burst revenue and profits were rapidly growing and it never really stopped. I would rather blame the managers who constantly pushed for more workers instead of increasing the productivity of the existing workforce.

Add the Inflation Reduction Act which did the exact opposite of its title (increased government spending when the labor market was extremely tight)