US Entertain Fear as Inflection Rocks Biden's Administration

Treasury Secretary Janet Yellen testifies before the House Ways and Means Committee during a hearing on proposed fiscal year 2023 budget on Capitol Hill in Washington, Wednesday , June 8, 2022. (AP Photo/Jose Luis Magana)

US Secretary of Treasury Janet Yellen recently appeared to shift the responsibility of dealing with inflation away from the White House. While speaking to reporters on Monday, she claimed the Federal Reserve is responsible for dealing with the American economy.

Her statements came after the organization announced an interest rate hike in attempt to address inflation. Prior to this, Yellen suggested the Biden administration was running out of options to address its mishandling of the economy.

“The primary role for addressing inflation rests with the Federal Reserve,” she noted. “That said, the President, President Biden would be supportive of some complimentary fiscal actions that would supplement and support what the Fed is doing.”

Additionally, she took aim at 45th President Donald Trump’s economic plan by labeling it as a failed strategy, which did not boost private investments. Her remarks came in spite of economists saying his tax plan increased business investments by over 10 percent with corporate investments being boosted by 15 percent.

“We had very large tax cuts, corporate tax cuts, in the United States in 2017 intended to boost private investment,” said Yellen. “They didn’t succeed in boosting private investment at all and I think if you look at the history, this has simply not been a lot to boost growth in the United States.”

Meanwhile, President Joe Biden found another target to blame rising inflation on during his vacation in Delaware.

“We also can move in the direction that we can provide for increasing the tax, taxes on those in the corporate area as well as individuals as it relates to Trump’s tax cut, which is inflationary,” stated the President. “Going out and buying a yacht doesn’t help the economy a whole lot.”

In the meantime, Biden remains in denial about his mishandling of the economy with economists raising concerns about a possible recession.