Speaking at a union hall in Las Vegas, US Treasury Secretary Janet Yellen emphasized that the Inflation Reduction Act (IRA) passed by the Biden administration in Congress has boosted long-term growth and made the US more resilient against future shocks.
"While Americans have begun to feel the effects in their daily lives, there is more to come," Yellen said, adding that surveys show that despite having weaker views about the broader economy, a large portion of Americans feel good about their personal situations.
Janet Yellen highlighted the possibility that China's slowing growth, Russia's war in Ukraine, and climate change could still pose risks to the US economy, and she did not rule out the possibility of a recession, but she expressed optimism.
In her remarks to journalists, Yellen mentioned that inflation and the unemployment rate have fallen below 4%, and the US economy continues to expand. She stated, "I feel very good about the overall expectations for the United States."
Speaking about workers' conditions, Yellen said, "Workers are better off than they were a year ago. Real average hourly earnings increased over the past year – that means wage increases have outstripped inflation." She also noted that unemployment rates for Black and Latino Americans are among the lowest on record. Yellen stated, "These are not abstract statistics. These are real Americans; they can put food on the table, support their families, and save for retirement."
