Yellen: Inflation Has Fallen, I Think ‘It Will Stabilize in the Next Year or So’

During an interview with Sky News host and NBC Contributor Wilfred Frost on Tuesday, Treasury Secretary Janet Yellen stated that inflation has declined from where it was and she believes “it will stabilize in the next year or so.”

In response to a question on poor economic polls, Yellen said, “Well, the pandemic was a difficult experience, consumers, households have been through a lot in the United States because of that. And what they do see is that the level of prices of things they bought just a couple of years ago is noticeably higher than it was back then. Now, it’s also true that wages have gone up and wages have gone up, on average, for Americans, a little bit more than prices have. But I think it’s still noticeable that the cost of living, when it comes to rent or groceries or gas, things that people buy every day, and they’re concerned about that. And President Biden has made his top priority trying to address the costs that households face and bringing it down in meaningful ways, whether it’s capping the cost of insulin that people rely on, health insurance, or energy prices. I would say that, when Americans are asked about their own financial position, the majority of Americans say that they’re doing well and they’re satisfied. Oddly, when asked about the economy as a whole, they’re less positive.”

She continued, “I think it’s our job as policymakers to talk to Americans about where things are, what’s been accomplished. We have the strongest job market in the United States we’ve seen in 50 years. As you said, growth has been exceptionally strong. Job creation has been enormous. And inflation is down by more than two-thirds, and I believe it will stabilize in the next year or so.”

Follow Ian Hanchett on Twitter @IanHanchett


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