US Treasury Secretary Sends Warning

 

U.S. Treasury Secretary Janet Yellen has warned that a significant change in current economic policies could damage the American economy.

Writing for The Wall Street Journal in a Sept. 22 article, Yellen said that “veering off course could jeopardize our economic trajectory.”

Yellen said tax cuts for higher earners “would explode the federal deficit,” repealing investments in “the industries of the future would stunt growth,” and “pursuing nontargeted, nonstrategic international economic policies would raise costs for Americans and cause global turmoil.”

She also touted the federal government’s investments in green energy, calling them “cutting-edge industries,” and praised the vaccination programs launched during the COVID-19 pandemic.

“We then navigated additional crises, including the energy shock from Russia’s invasion of Ukraine,” the U.S. Treasury secretary said. “And we made critical investments in infrastructure and manufacturing—from clean energy to semiconductors—including in training Americans for jobs in these cutting-edge industries.”

Yellen said these actions helped “reverse the pandemic’s shock to our ability to produce goods and services” and “boosted the economy’s long-run potential output.”