Janet Yellen Starts Pushing for Higher Interest Rates Amid Waning Economy

(ReliableNews.org) – Economic theories abound as the nation struggles to reopen after more than a year of quarantines and other various restrictions. Democrats, led by President Joe Biden, are pushing for multi-trillion-dollar spending programs aimed at flooding the market with money. However, history has shown that tax and spend policies typically come at the expense of higher interest rates.

Treasury Department head Janel Yellen promoted Biden’s high-dollar spending plans despite an anticipated rise in interest rates during an interview with Bloomberg News on Sunday, June 6.

Yellen, who served as Chair of the Federal Reserve from 2014 to 2018, claimed a “slightly higher interest rate environment” would be a “plus” to the collective points of view of the Federal Reserve and the country at large.

However, there is some debate among experts about the possible outcome of injecting trillions in stimulus money into the economy. Many think that aid could lead to a significant rise in prices.

Members of the G7 ultimately sided with Yellen’s assertion during a May 28 conference call — at least for now. It remains to be seen if monetary policymakers like Yellen have the means to prevent runaway inflation. Time will tell.

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