Biden: The US recession is not inevitable
President Joe Biden reiterated to reporters Monday in Rehoboth Beach, Delaware that the US recession is not “inevitable.” Asked by Biden about a possible recession, a journalist said: “Economists say a recession is more likely than ever.” The president quickly interrupted the journalist, saying: “Not the majority. “Come on, don’t make things.” Biden added: “Now you sound like a Republican politician. I am joking. That was a joke, that was a joke. “ Stating that “all jokes aside”, the president continued: No, I do not think so. I was talking to Larry Summers this morning, there is nothing inevitable about the recession. Biden referred to the conversation he claimed to have had with former Treasury Secretary Lawrence Summers, who told NBC on Sunday: “My best guess is that the recession is ahead.” Summers explained his prediction for the recession: “I base it on the fact that we did not have a situation like today, with inflation above 4% and unemployment above 4% without a recession to follow in a year or two. And so I think the possibility is that in order to do what is necessary to stop inflation, the Fed will raise interest rates high enough for the economy to slide into recession. “ This is not the first time Biden has dismissed concerns that a recession is approaching in the United States. In an interview with the Associated Press after the Federal Reserve announced the biggest rate hike since 1994 last week, he said: First of all, it is not inevitable. Second, we are in a stronger position than any other nation in the world to overcome this inflation.
Yellen expects US economy to slow down, but says recession is not inevitable
Biden’s optimism about the US economy is also shared by Treasury Secretary Janet Glenn. He told ABC News on Sunday that the recession that many Americans fear is “not imminent”. “I expect the economy to slow down, it is growing very fast as the economy, as the labor market has recovered and we have reached full employment. It is natural now to expect the transition to steady and stable growth “, said Yellen, emphasizing: But I do not think the recession is inevitable. However, the Minister of Finance stressed: “Clearly, inflation is unacceptably high.” Yellen also told the Times Dealbook DC policy forum earlier this month that “there is nothing to suggest that there is a recession.” What do you think of the comments made by President Joe Biden and Secretary of the Treasury Janet Glenn about the US recession? Let us know in the comments section below. Kevin Helms An Austrian Finance student, Kevin discovered Bitcoin in 2011 and has been an evangelist ever since. His interests are in Bitcoin security, open source systems, network effects and the intersection between economy and cryptography.
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