{"id":120589,"date":"2021-02-08T07:36:41","date_gmt":"2021-02-08T12:36:41","guid":{"rendered":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/?p=120589"},"modified":"2021-02-08T08:12:56","modified_gmt":"2021-02-08T13:12:56","slug":"treasury-secretary-janet-yellen-we-have-to-consider-rising-inflation-rates-when-doing-stimulus-package","status":"publish","type":"post","link":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/treasury-secretary-janet-yellen-we-have-to-consider-rising-inflation-rates-when-doing-stimulus-package\/","title":{"rendered":"Treasury Secretary Janet Yellen: \u2018We Have To Consider\u2019 Rising Inflation Rates When Doing Stimulus Package"},"content":{"rendered":"<aside class=\"mashsb-container mashsb-main mashsb-stretched\"><div class=\"mashsb-box\"><div class=\"mashsb-count mash-medium\" style=\"&quot;\"><div class=\"counts mashsbcount\">30<\/div><span class=\"mashsb-sharetext\">SHARES<\/span><\/div><div class=\"mashsb-buttons\"><a class=\"mashicon-facebook mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/www.facebook.com\/sharer.php?u=https%3A%2F%2Fwww.conservativenewsdaily.net%2Fbreaking-news%2Ftreasury-secretary-janet-yellen-we-have-to-consider-rising-inflation-rates-when-doing-stimulus-package%2F\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Facebook<\/span><\/a><a class=\"mashicon-twitter mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/twitter.com\/intent\/tweet?text=&amp;url=https:\/\/www.conservativenewsdaily.net\/breaking-news\/?p=120589&amp;via=ConservNewsDly\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Twitter<\/span><\/a><a class=\"mashicon-subscribe mash-medium mash-nomargin mashsb-noshadow\" href=\"#\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Subscribe<\/span><\/a><div class=\"onoffswitch2 mash-medium mashsb-noshadow\" style=\"display:none\"><\/div><\/div>\n            <\/div>\n                <div style=\"clear:both\"><\/div><\/aside>\n            <!-- Share buttons by mashshare.net - Version: 4.0.47--><div><img decoding=\"async\" src=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-content\/uploads\/2021\/02\/JY.jpg?w=1200&amp;h=800&amp;ixlib=react-9.0.3\" class=\"ff-og-image-inserted\" \/><\/div>\n<p>Treasury Secretary Janet Yellen acknowledged during a CNN interview on Sunday that rising inflation rates were a serious concern for the Biden administration as it considers a new pandemic relief package, though she stressed that the administration\u2019s priority is addressing the current \u201chuge economic challenge\u201d and \u201ctremendous suffering in the country.\u201d<\/p>\n<p>Yellen noted during her interview with CNN host Jake Tapper the various challenges that are currently facing the U.S. economy, including the number of people unemployed, schools being closed, small businesses that are closing, first responders that have lost their jobs, and people who do not have enough food to eat.<\/p>\n<p>\u201cSo, we need a package that\u2019s big enough to address this full range of needs. And I believe that the American Rescue Plan is up to the job,\u201d said Yellen. \u201cMy predecessor has indicated that there\u2019s a chance that this will cause inflation to rise. And that\u2019s also a risk that we have to consider. I have spent many years studying inflation and worrying about inflation.\u201d<\/p>\n<p>\u201cAnd I can tell you, we have the tools to deal with that risk if it materializes,\u201d she claimed. \u201cBut we face a huge economic challenge here and tremendous suffering in the country. We have got to address that. That\u2019s the biggest risk.\u201d<\/p>\n<p>A report by the Mercatus Center <a href=\"https:\/\/ppe.mercatus.org\/commentary\/should-we-be-worried-about-high-inflation-fed%E2%80%99s-recent-money-printing\">stated<\/a> that if the Federal Reserve wants to keep inflation down to around two percent that it will \u201cneed to reverse the growth of M1 as the coronavirus pandemic recedes, and as the pandemic-related surge in the real demand to hold money recedes with it.\u201d<\/p>\n<p>\u201cEconomists Antony Davies and James R. Harrigan write that \u2018the Federal Reserve has reached a point wherein it has little choice but to monetize federal deficits. Sooner or later, we will all pay the price in the form of massive inflation,&#8217;\u201d the report warned. \u201cAlthough \u2018sooner or later\u2019\u201d is open-ended as to timing, Davies and Harrigan suggest that ongoing larger deficits will compel an ongoing higher rate of money-printing and thus \u2018will give us sustained and significant inflation.&#8217;\u201d<\/p>\n<div id>\n<p><em>JAKE TAPPER, CNN HOST: Joining us now for her first interview on CNN since being confirmed, Treasury Secretary Janet Yellen.<\/em><\/p>\n<p><em>Secretary Yellen, congratulations, and thanks for joining us.<\/em><\/p>\n<p><em>President Biden and Democrats are pushing forward with this $1.9 trillion relief package. But as you know, one of your predecessors from the Clinton and Obama administration, Larry Summers suggested that it\u2019s just too big, it would flood the economy with too much money, and that could lead to rising inflation.<\/em><\/p>\n<p><em>Quote: \u201cWhereas the Obama stimulus was about half as large as the output shortfall, the proposed Biden stimulus is three times as large as the projected shortfall.\u201d<\/em><\/p>\n<p><em>Why is Summers wrong? Why are you confident this will not cause rising inflation?<\/em><\/p>\n<p><em>JANET YELLEN, U.S. TREASURY SECRETARY: Well, first, Jake, thank you for having me. It\u2019s a pleasure to be with you.<\/em><\/p>\n<p><em>I think the risks here \u2014 as Treasury secretary, I have to worry about all of the risks to the economy. And the most important risk is that we leave workers and communities scarred by the pandemic and the economic toll that it \u2014 that it\u2019s taken, that we don\u2019t do enough to address the pandemic and the public health issues, that we don\u2019t get our kids back to school.<\/em><\/p>\n<p><em>We have 10 million Americans who are unemployed, another four million who have dropped out of the labor force, particularly women who have child care responsibilities. We need to reopen our schools, make sure that children aren\u2019t falling behind, provide help.<\/em><\/p>\n<p><em>We already have way too many small businesses that are closing. We need to provide help to get them to the other side. And we have already seen 1.3 million state and local government workers, first responders, policemen,firemen who\u2019ve lost their jobs. And we need to get them back on the payroll.<\/em><\/p>\n<p><em>And people are on the verge of losing the roofs so for their heads. The package provides rental assistance. We have 24 million adults and 12 million children that are going hungry every day. And we need to provide them with food. We have people suffering, particularly low- wage workers and minorities, and through absolutely no fault of their own.<\/em><\/p>\n<p><em>We have to get them to the other side and make sure this doesn\u2019t take a permanent toll on their lives.<\/em><\/p>\n<p><em>TAPPER: Right.<\/em><\/p>\n<p><em>YELLEN: So, we need a package that\u2019s big enough to address this full range of needs. And I believe that the American Rescue Plan is up to the job.<\/em><\/p>\n<p><em>My predecessor has indicated that there\u2019s a chance that this will cause inflation to rise. And that\u2019s also a risk that we have to consider. I have spent many years studying inflation and worrying about inflation.<\/em><\/p>\n<p><em>And I can tell you, we have the tools to deal with that risk if it materializes. But we face a huge economic challenge here and tremendous suffering in the country. We have got to address that. That\u2019s the biggest risk.<\/em><\/p>\n<p><em>TAPPER: And, as you noted, the unemployment rate is falling. And that does not take into account the millions of Americans who have left the labor force completely during the pandemic. I think 400,000 or so in the latest jobs report just gave up looking.<\/em><\/p>\n<p><em>After the Great Recession, it took almost seven years to get employment numbers back to where they were. How long do you think it will take now to fully recover all the jobs we lost during this pandemic, including all the people who are jobless and have given up?<\/em><\/p>\n<p><em>YELLEN: Well the Congressional Budget Office issued an analysis recently.<\/em><\/p>\n<p><em>And it showed that, if we don\u2019t provide additional support, the unemployment rate is going to stay elevated for years to come. It would take until 2025 in order to get the unemployment rate down to 4 percent again. We would have a long, slow recovery, like we had after the financial crisis.<\/em><\/p>\n<p><em>But this package is going to really speed recovery. And analysis by Moody\u2019s and the economists at the Brookings Institution show that very clearly that we will get people back to work much sooner with this \u2014 with this package. And that\u2019s really critically important.<\/em><\/p>\n<p><em>TAPPER: Do you\u2026<\/em><\/p>\n<p><em>YELLEN: There\u2019s absolutely no reason why we should suffer through a long, slow recovery.<\/em><\/p>\n<p><em>TAPPER: Do you have a timeline, though, for full reemployment?<\/em><\/p>\n<p><em>YELLEN: Well, I would expect that, if this package is passed, that we would get back to full employment next year. TAPPER: One of the main discussions right now in the legislation is<\/em><\/p>\n<p><em>about who should receive the direct payments from the stimulus package.<\/em><\/p>\n<p><em>Almost every senator agreed with a resolution that passed on Thursday to say that upper-income taxpayers should not get direct payments. They did not define what constitutes an upper-income taxpayer, which maybe is why it was so easy for them to pass it.<\/em><\/p>\n<p><em>What do you think the cutoff should be, $50,000, $75,000? Where do you come down?<\/em><\/p>\n<p><em>YELLEN: Well, President Biden is certainly willing to work with members of Congress to define what\u2019s fair. And he wouldn\u2019t want to see a household making over $300,000 receive these payments.<\/em><\/p>\n<p><em>But if you think about an elementary school teacher or a policeman making $60,000 a year, and faced with children who are out of school and people who may have had to withdraw from the labor force in order to take care of them and many extra burdens, I would \u2014 he thinks, and I would certainly agree, that it\u2019s appropriate for people there to get support.<\/em><\/p>\n<p><em>So, the exact details of how it should be targeted are to be determined, but struggling middle-class families need help, too.<\/em><\/p>\n<p><em>TAPPER: So, you\u2019re not \u2014 so, you definitely think higher than $50,000 per individual, but you\u2019re not necessarily willing to commit to $75,000, is what I\u2019m hearing.<\/em><\/p>\n<p><em>YELLEN: Yes, I \u2014 I think the details can be worked out. And the president is certainly willing to work with Congress to find a good structure for these payments.<\/em><\/p>\n<p><em>TAPPER: So, \u201cThe Washington Post\u201d editorial board is still pushing for a bipartisan deal.<\/em><\/p>\n<p><em>They wrote just yesterday \u2014 quote \u2014 \u201cBiden should exhaust the possibilities for compromise on COVID relief.\u201d<\/em><\/p>\n<p><em>But President Biden has also signaled he\u2019s ready to move forward without Republicans. Are you, is the administration willing to pass this relief package with zero Republican votes in the Senate, zero Republican votes in the House?<\/em><\/p>\n<p><em>YELLEN: President Biden is strongly committed to working with all members of Congress in order to try to craft a package that addresses the needs of the American people.<\/em><\/p>\n<p><em>And, as you know, he\u2019s met with Republicans who are interested in working with him to craft a proposal. The details of the package certainly can be negotiated over to try to craft something that\u2019s broadly acceptable. But we need a big package. And we need to get this done quickly. And<\/em><\/p>\n<p><em>those are the things that the president is really committed to. So, he wants to make sure that all the needs of the American people are addressed. It\u2019s important to do \u2014 to extend unemployment insurance. It\u2019s important to have enough money to distribute the vaccine.<\/em><\/p>\n<p><em>But there are many more needs out there. And he wants a package that addresses rental assistance, so people have roofs over their head, food, that they have enough to eat, and the full range of problems facing Americans.<\/em><\/p>\n<p><em>TAPPER: You met with regulators from the Securities and Exchange Commission and the Federal Reserve on Thursday about GameStop and other stocks after day traders drove the prices to soar and then crash.<\/em><\/p>\n<p><em>Your department says that the market\u2019s \u2014 quote \u2014 \u201ccore infrastructure was resilient\u201d \u2014 unquote.<\/em><\/p>\n<p><em>Does that mean you think new regulations are not necessary?<\/em><\/p>\n<p><em>YELLEN: Well, first \u2014 the first thing is that we really need to understand exactly what happened.<\/em><\/p>\n<p><em>And the Securities and Exchange Commission is working hard to assemble a report that gives us the facts. And when we have them, we can look at whether or not there were issues that need to be addressed through new policy or regulations.<\/em><\/p>\n<p><em>We need to make sure the markets function efficiently, that investors are protected, and also that they understand the risks that they face when they engage in trading. And all of that will be reviewed.<\/em><\/p>\n<p><em>TAPPER: Let me ask you, because you have made more than $7 million in recent years giving speeches to Wall Street banks, corporations, industry groups, including Citadel, a hedge fund that recently bailed out a GameStop short seller.<\/em><\/p>\n<p><em>You must know that a lot of people who pay these high sums of money for speeches like from experts such as you are hoping not just to hear a good speech, but hoping to get friendly treatment down the line.<\/em><\/p>\n<p><em>YELLEN: Well, I have an ethics agreement that I signed that carefully considered whether or not there could be conflicts of interest. And I will religiously adhere to that agreement.<\/em><\/p>\n<p><em>And, at every step along the way, I have consulted with ethics lawyers at the Treasury Department and will certainly abide by my ethics obligations.<\/em><\/p>\n<p><em>TAPPER: You\u2019re the first woman to ever be confirmed as Treasury secretary in the history of the United States, kind of astounding, frankly, after a very, very long line of 77 men who preceded you.<\/em><\/p>\n<p><em>Take a listen to something you said back in 1998, when you were the chair of the Council of Economic Advisers for then President Bill Clinton.<\/em><\/p>\n<p><em>(BEGIN VIDEO CLIP, 1998)<\/em><\/p>\n<p><em>YELLEN: The bad news, though, is that there remains a significant differential between women\u2019s and men\u2019s pay. On average, women now earn about 75 percent of what men earn.<\/em><\/p>\n<p><em>(END VIDEO CLIP)<\/em><\/p>\n<p><em>TAPPER: More than 20 years later, women earn just 81 percent of what men earn. It\u2019s progress, but not particularly enough.<\/em><\/p>\n<p><em>Where do you want that number to be when your term as Treasury secretary is done?<\/em><\/p>\n<p><em>YELLEN: Well, I would like there to be equal pay for equal work.<\/em><\/p>\n<p><em>And I would like to see the barriers that remain that impede the progress of women in the labor force addressed. Once upon a time, labor force participation of women in the United States exceeded that of most European countries.<\/em><\/p>\n<p><em>The opposite is true now of Europe and other developed countries. And big differences are the availability of child care and paid family and medical leave. And these are things I think we need to work on in order to make it easier for women to work and to combine work with family life.<\/em><\/p>\n<p><em>TAPPER: All right, Treasury Secretary Janet Yellen, thanks so much. Congratulations again on your trailblazing appointment.<\/em><\/p>\n<p><em>We appreciate your being here today.<\/em><\/p>\n<p><em>YELLEN: Thanks so much for having me.<\/em><\/p>\n<\/div>\n<p><em><span>The Daily Wire is one of America\u2019s fastest-growing conservative media companies and counter-cultural outlets for news, opinion, and entertainment. Get inside access to The Daily Wire by becoming a<\/span><\/em> <a href=\"https:\/\/www.dailywire.com\/subscribe\"><em><span>member<\/span><\/em><\/a><em><span>.&nbsp;<\/span><\/em><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Treasury Secretary Janet Yellen acknowledged during a CNN interview on Sunday that rising inflation rates were a serious concern for the Biden administration as it considers a new pandemic relief &#8230;<\/p>\n","protected":false},"author":1,"featured_media":1892855,"comment_status":"close","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_mo_disable_npp":"","fifu_image_url":"https:\/\/cndimages.nyc3.digitaloceanspaces.com\/breaking-news\/wp-content\/uploads\/2021\/01\/IMG_2758-scaled-1.jpg","fifu_image_alt":"","footnotes":""},"categories":[],"tags":[5467,4334,5740,3779,3778,5286],"class_list":["post-120589","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","tag-consider","tag-have","tag-janet","tag-secretary","tag-treasury","tag-yellen"],"fifu_image_url":"https:\/\/cndimages.nyc3.digitaloceanspaces.com\/breaking-news\/wp-content\/uploads\/2021\/01\/IMG_2758-scaled-1.jpg","_links":{"self":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/120589","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/comments?post=120589"}],"version-history":[{"count":0,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/120589\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media\/1892855"}],"wp:attachment":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media?parent=120589"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/categories?post=120589"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/tags?post=120589"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}