Following the publication of statistics by the Commerce Department showing that the economy recovered in the third quarter of the year, Treasury Secretary Janet Yellen stated on Thursday that she does not see any indications of a recession, The Hill reports.
Yellen said in a CNN interview that the economy is now seeing “strong growth this quarter” and that the unemployment rate is low for the whole workforce.
The U.S. economy expanded by 2.6% annually between July and September, according to figures released by the Commerce Department on Thursday. This growth followed a six-month period of economic contraction.
Even still, a jump in exports was a major contributor to the third-quarter GDP growth, and some of the world’s top economists do not anticipate that trend to continue through this year’s end or the beginning
Amid elections and with inflation that reached record heights in 40 years, the Biden administration has been on the defense, citing other signs of a solid economy like high job growth and healthy consumer spending to show a recession is not imminent.
However, economic experts and business leaders have cited the Federal Reserve’s substantial increase in interest rates this year in an effort to control inflation, which may possibly harm the labor market and other strong sectors of the economy.
According to a Wall Street Journal study, 63% of economists predict a recession within the coming year, and the UN has issued a warning about a global recession that would present new difficulties for the United States.
“This is not an economy that’s in recession and we continue to do well,” the Treasury Secretary said, as reported by The Hill. “There were several problems that we could have had, and difficulties many families American families could have faced.
“These are problems we don’t have, because of what the Biden administration has done,” she added. “So, often one doesn’t get credit for problems that don’t exist.”