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Joe Biden bets on the Federal Reserve as the guarantor of the economic recovery

El presidente Joe Biden confía en que se pueda hacer frente al fenómeno inflacionario que vive el país.
President Joe Biden is confident that the inflationary phenomenon that the country is experiencing can be tackled.

Photo: Drew Angerer / Getty Images

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For: Real America News Updated 19 Jan 2022, 21: 43 pm EST

President Joe Biden made it clear that it is appropriate for the Federal Reserve to recalibrate its support for the US economy, in light of rising prices and the pace of the recovery.

“Given the strength of our economy and recent price increases, it is appropriate, as Fed Chairman Jerome Powell has indicated, recalibrate the support that is now necessary “, Biden said in a press conference.

“The critical job of making sure high prices don’t take hold falls to the Federal Reserve, which has a dual mandate : full employment and stable prices”, added the president.

With inflation increasing at its accelerated pace by almost 40 years, the Fed authorities have signaled that they will raise interest rates several times this year, probably starting in March, with an $8 trillion dollar balance sheet drawdown by the Fed starting soon.

In At his renomination hearing this month, Powell told lawmakers he would not allow inflation to “take root” and said a tighter monetary policy stance was needed to keep the economy growing.

Joe Biden also asked the Senate to confirm his recent nominations for key roles on the Federal Reserve Board “without further delay”.

In recent months, millions of Americans have struggled with the general rise in practically all products, which is why President Joe Biden has been pressured from various trenches to act so that greater damage to the finances of Americans is avoided .

With the position that the president of the state is assuming Nidense, the option that the government controls the prices of products can be ruled out in order to stop the rise that is being experienced, especially in fuels and groceries.

On the other hand, the authorities have said that as conditions improve in the supply chain and products can be distributed, prices will begin to balance , so this may happen in the coming months, for now the increases will continue.

2021

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