Treasury Secretary Janet Yellen lauded President Joe Biden’s executive efforts to bolster the economy, claiming it has “proven more resilient than many had thought.”
As part of the Biden administration’s Investing in America tour, Yellen minimized the danger of a possible recession and said the U.S. is capable of reducing inflation without disrupting jobs. Her remarks came Friday in New Orleans, Louisiana, at solar energy company PosiGen.
EUROPE ‘TOO FOCUSED’ ON ESG, GLENCORE CEO SAYS
“For a year now, we have heard our fair share of predictions about an imminent U.S. recession — with forecasters projecting one by the end of 2022, then by the start of 2023, then by the middle of this year,” Yellen said in her prepared remarks.
“I continue to believe that there is a path to reducing inflation while maintaining a healthy labor market. Without downplaying the significant risks ahead, the evidence that we’ve seen so far suggests that we are on that path.”
Secretary Yellen Gives Remarks on President Biden’s Investing in America Agenda at PosiGen in New Orleans, Louisiana https://t.co/WvjeKHTk4F
— Secretary Janet Yellen (@SecYellen) June 30, 2023
Yellen said business leaders have told her they are confident in the current state of the U.S. economy even as it slows down.
“Going forward, I expect the current strength of the labor market and robust household and business balance sheets to serve as a source of economic strength, even if our economy does cool a bit more as inflation falls,” she added.
Yellen spoke hours after the federal government released a report that showed inflation fell to a 3.8% annual rate in May, as previously reported by the Washington Examiner.
During her speech, the treasury secretary said “Bidenomics” is founded upon the idea of what she terms “modern supply-side economics,” which she touted as boosting “investments in our workforce and its productivity.” She contrasted this with “traditional supply-side economics,” which cuts taxes “to spur greater private investment,” as she explained. The former economic framework has already been implemented through Biden’s signing of the Bipartisan Infrastructure Law, the CHIPS and Science Act, and the Inflation Reduction Act.
Fox Business reported modern supply-side economics would only add to the growing national debt that just passed $32 trillion in mid-June.
CLICK HERE TO READ MORE FROM THE WASHINGTON EXAMINER
“We have rescued the economy from the depths of an unprecedented crisis,” Yellen said. “Now, we are investing in our future. To do so, we are capitalizing on the greatest strengths of our nation and our people: we are building. We are innovating.”
The White House pushed Bidenomics earlier this week before the president delivered an address on Wednesday regarding the economic agenda, which is said to grow the U.S. economy “from the middle out and the bottom up,” not from the top down as Reaganomics once did.
