U.S. Treasury secretary Janet Yellen does not believe that inflationary pressures are a result of the stimulus policies enacted following the Covid-19 epidemic. During Wednesday’s House Ways and Means Committee meeting, Republicans criticized Janet Yellen for not being aware of the dangers of inflation. Wyoming senator asked Treasury secretary about “pronouncements” and “decisions” regarding record gas prices and rising inflation.
Yellen Claims Stimulus Produced Excellent Rewards for Americans’ — Republican Senator Says American Rescue Plan ’Overheated the Economy’
Janet Yellen, Treasury Secretary, downplayed Wednesday’s theory that the American Rescue Plan and other monetary growth policies had contributed to rising inflation. “The success of our policy is that we now have an economy with arguably the strongest labor market in the post-war period,” Yellen stated during her House Ways and Means Committee speeches. She stated that spending had “produced excellent rewards for Americans, and at best, it contributed modestly towards inflation.”
Yellen spoke out about the American Rescue Plan stimulus bill and said that she was horrified to imagine what the situation would have been without that plan, especially for low-income families.
According to a poll conducted by Quinnipiac University from June 3-6, Americans are more concerned about the current hot inflation than banning “assault weapon” bans. Despite the Treasury secretary’s comments, Republicans like John Barrasso from Wyoming are not convinced by Yellen’s view. Is there an inflation risk? You replied, ‘I think it’s a little risk,’” Barrasso told Yellen on Wednesday. Barrasso added:
It makes me wonder why Americans should trust your decisions, pronouncements, and recommendations.
John Thune, a Republican Senator from South Dakota believes that the trillions spent on stimulus plans have created the inflation problems America is currently facing. Thune stated that “I believe that there’s no doubt that the $2 trillion bill overheated last year, and that’s why we have this mess today.” Thune spoke during the House Ways and Means Committee. Darin LaHood (Republican senator from Illinois) stated that he was confused about the Biden administration’s inability to provide solutions. LaHood said:
As I listened today to you, I was perplexed in many ways about whether or not the administration is aware or tone deaf.
Biden declares Americans “Financially Comfortable,” while his Administration is accused of fueling power-hungry politicians
Recently, Joe Biden , the American president, stated to the U.S. public “Families have less debt” and that “their average savings have increased” since he was elected president. U.S. Bureau of Economic Analysis statistics shows that American savings have plunged to levels not seen in 2008, however. Biden also stated that his administration believes more Americans are financially secure than they were in 2013.
Tucker Carlson , an American television host, stated that Yellen’s “reckless, lose money policies caused inflation” after Tuesday’s testimony.
Carlson stated that Yellen “had all but abandoned the traditional constraints monetary policy within a year.” Instead, she was talking in public about issues like environmental justice and racial equality. These are issues that cannot be quantified, or even defined, and they are not economics. These issues are perfect for power-hungry politicians who want to be more powerful.
Yellen stated in her testimony that the White House is focusing on reducing inflation to pre-pandemic levels and that addressing this issue is the administration’s top priority. A Treasury official supported Yellen’s remarks by noting that “the unmatched strength of America’s recovery enables us to address global problems like inflation and Russia attacking Ukraine from a place of strength.”