U.S. Treasury Secretary Janet Yellen said on Thursday that President Joe Biden’s fiscal 2022 budget plan will push U.S. debt above the size of the U.S. economy, but will not contribute to inflationary pressures, which she views as temporary.
Yellen told a U.S. House of Representatives Appropriations subcommittee hearing that the White House and Treasury were closely monitoring inflation but there was still slack in the economy that can absorb increased spending.
