Treasury Secretary Janet Yellen Signals Trouble Over How Long Inflation Will Continue To Remain High
Treasury Secretary Janet Yellen warned during a CNN interview with Jake Tapper on Sunday that inflation would continue to remain late into next year.
“So let me ask you about that, because this rising inflation is hitting Americans’ wallets hard, impacting everything from gas prices to groceries,” Tapper said on CNN’s “State of the Union.”
“When do you expect the inflation to get back to the 2 percent range, which is considered normal?” Tapper asked. “2022? 2023? When?”
“Well, I expect that to happen next year,” Yellen responded. “Monthly rates of inflation have already fallen substantially from the very high rates that we saw in the spring and early summer. On a 12-month basis, the inflation rate will remain high into next year because of what’s already happened. But I expect improvement by the end of — by the middle to end of next year, second half of next year.”
Yellen later conceded that “we are going through a period of inflation that’s higher than Americans have seen in a long time.”
JAKE TAPPER, CNN HOST: So let me ask you about that, because this rising inflation is hitting Americans’ wallets hard, impacting everything from gas prices to groceries.
When do you expect the inflation to get back to the 2 percent range, which is considered normal? 2022? 2023? When?
YELLEN: Well, I expect that to happen next year.
Monthly rates of inflation have already fallen substantially from the very high rates that we saw in the spring and early summer. On a 12-month basis, the inflation rate will remain high into next year because of what’s already happened.
But I expect improvement by the end of — by the middle to end of next year, second half of next year.
TAPPER: Second half of 2022.
Former President Obama’s Treasury Secretary Larry Summers has been sounding alarm bells for months about rising prices. Take a listen to his response to what he calls very disturbing inflation numbers out last week.
(BEGIN VIDEO CLIP)
LAWRENCE SUMMERS, FORMER DIRECTOR, WHITE HOUSE NATIONAL ECONOMIC COUNCIL: Now we see inflation becoming more widespread in a wider range of products, spreading to the housing and labor markets.
I have been alarmed for a long time, and I’m more alarmed now.
(END VIDEO CLIP)
TAPPER: More alarmed now.
And Summers added this warning — quote — “We’re in more danger than we have been during my career of losing control of inflation in the U.S.”
Is he wrong?
YELLEN: I think he’s wrong, I don’t
" Conservative News Daily does not always share or support the views and opinions expressed here; they are just those of the writer."
*As an Amazon Associate I earn from qualifying purchases
