Latest News by Industry
• She acknowledged the slowdown that she called necessary to tame inflation
Despite two consecutive quarters of negative growth, Treasury Secretary Janet Yellen said that the US economy is in a state of transition, not recession, on Thursday.
She acknowledging the slowdown that she called necessary to tame inflation but rejected the notion the country had entered a recession.
“We do see a significant slowdown in growth,” Yellen said at a press conference on Thursday. But a true recession is a “broad-based weakening of the economy,” she said. “That is not what we’re seeing right now.”
“When you look at the economy, job creation is continuing, household finances remain strong, consumers are spending and businesses are growing,” she added.
Employment climbed by 1.1 million jobs in the second quarter, a sharp contrast with the average loss of 240,000 in the first three months of past recessions, she said.
Yellen acknowledged the burden that higher prices carry and said the administration is “laser-focused” on addressing the situation.
Source - Bloomberg
ALSO READ:
Yellen stresses building supply chain resilience among US and its allies
US faces ‘unacceptable levels of inflation,’ Yellen tells senators