U.S. Treasury Secretary Janet Yellen indicated today, Friday, that the American economy is on track to maintain a strong job market and reduced inflation, even if the pace of economic activity slows a bit longer. In prepared remarks at a residential solar energy company in New Orleans, she stated that the strong financial positions of American households and businesses will serve as a source of strength for the U.S. economy, alongside continued manufacturing investment.
During her visit to New Orleans to promote President Joe Biden's economic agenda, Yellen noted that the U.S. economy has overcome expectations of a recession this year and has proven to be more resilient than anticipated. She said, "I still believe that there is a way to reduce inflation while maintaining a sound labor market. Without downplaying the significant risks ahead, the evidence we have seen so far suggests we are on this path."
She pointed out that "while our economy is experiencing a slowdown in some aspects, households are spending at a strong pace, and businesses continue to invest. Looking ahead, I expect that the current strength of the job market and the solid financial positions of households and businesses will be a source of economic strength, even if our economy cools off a bit more with declining inflation."
