With fears of an upcoming recession and growing economic challenges, the White House shared on Monday that it is confident that Americans are well equipped to face these storms with President Joe Biden’s efforts.
The White House has closely monitored the declining stock market, and Press Secretary Karine Jean Pierre was asked about the White House’s reaction. She responded that they were following the developments very closely.
Jean-Pierre pointed out that inflation does not just happen in the United States. She said that many other countries are also dealing with an outbreak of this economic problem.
“We know families are concerned about inflation and the stock market,” said the press secretary. “That is something that the President is really aware of.”
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Jean-Pierre said that the Russian invasion of Ukraine and pandemic have contributed to worldwide inflation. She also said that while America’s stock market declined, White House believes Americans are in a better position to deal with economic problems than before Biden was elected president.
“The way that we see this is the American people are well-positioned to face these challenges because of the economic historic gains that we have made under this President in the last 16 months,” said the press secretary.
Despite the comments, the American people are suffering from increasing prices of goods and decreasing stock values while unemployment rates remain low.
The dollar continued its decline against other currencies, hitting an all-time low as inflation rates increased. The price of gas went up and stocks also entered a bear market causing investors nervous about what will happen at the Federal Reserve if they raise interest rates more than expected. The average cost for one gallon also reached $5 per liter which is higher than previous increases.
“We know that high prices are having a real effect on people’s lives,” said Jean-Pierre. “We get that, and we are incredibly focused on doing everything that we can to make sure that the economy is working for the American people. But we are coming out of the strongest jobs market in American history, and that matters. And a lot of that is thanks to the American Rescue Plan.”
Last week, Treasury Secretary Janet Yellen said Biden’s $1.9 trillion plan contributed modestly to the inflation. The gas prices would have also been worse if not for Biden’s action to authorize a record release earlier this year.
Earlier this month, President Biden said there was little he could do to lower gas or food prices immediately.
“There’s a lot going on right now, but the idea we’re going to be able to click a switch, bring down the cost of gasoline, is not likely in the near term. Nor is it with regard to good,” said the President at the White House.
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White House Adamant That Americans Are Resilient Enough to Face Economic Crisis