Biden administration does not close the door on world wealth tax | News | Right

Janet Yellen, in an interview on ABC, indicated that “this is something we haven’t decided yet and we can look at,” noting that “President Biden, during the campaign, suggested […] Alternatives that have a similar effect. “

Joe Biden suggested that “companies and the wealthy pay more to meet the needs of the economy, necessary spending, and in the long run, I think we will make proposals to control the deficit,” as the Treasury Secretary made clear, in the equivalent of the Minister of Economy and Finance.

The trillions of dollars spent over the past year to help businesses and households, through successive stimulus packages, deal with the crisis caused by COVID-19 continue to widen the deficit.

Republicans, in particular, have expressed concern about the debt implications of the $ 1.9 billion contingency plan passed on Wednesday in Congress and signed on Thursday by Joe Biden. A new plan has not yet been presented that aims to invest in infrastructure and green energy to create jobs.

But exceptionally low interest rates significantly lower the cost of debt. Consequently, “even though the debt increased significantly, interest remained relatively low in relation to the size of the economy,” Al-Sayed noted.I am Yelin.

However, “we have to make sure that the economy and the budget are on a sustainable path. […] In the long run, we need to control the deficit. “

Inflation?

Once again, the Treasury Secretary ignored fears of a return to inflation, which has driven markets due to the money pumping into the economy, just as the vaccination campaign is being carried out in full force in the US. – United.

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The expected economic boom from spring should drive some prices up, but the risks for inflation are, according to her, much lower than the risks of seeing a permanent scar in the labor market with a less generous stimulus package.

“I think there is a small risk. She confirmed that she expects a“ temporary movement, ”and I think it can be controlled.

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