US Treasury Secretary Janet Yellen on Sunday tamped down concerns that President Joe Biden’s plans for infrastructure, jobs and families will cause inflation, saying the spending will be phased in over eight to 10 years.
Yellen told NBC’s “Meet the Press” that inflation will be monitored carefully over the years and there are tools to deal with that if it becomes an issue.
Biden believes the spending increases should be paid for by raising taxes on the wealthiest Americans.
Senator Elizabeth Warren, a liberal Democrat, has called for an annual tax of two percent on every dollar of people’s wealth above $50 million, and three percent on every dollar above $1 billion.
In February, Yellen told the New York Times that a Warren-style wealth tax would have “very difficult implementation problems.”
But she said she would consider other approaches that might have a similar effect.
A recent study by the humanitarian group Oxfam found that the world’s richest 10 people – including Americans Jeff Bezos, Elon Musk and Bill Gates – had collectively seen their fortunes grow by $540 billion since the coronavirus pandemic began, even as millions of Americans suffered.