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Yellen and rest of Bidenomics team ignore middle-class misery their policies create

Few people have done more to destroy the American middle class than Janet Yellen. Both in her former capacity as Federal Reserve chair and now as secretary of the Treasury, she has been woefully disconnected from everyday Americans and their current financial plight.

This arrogant detachment allowed her to recently declare that she sees no sign of a recession. Meanwhile, half of Americans feel like we’re already in one. That’s because their family finances have been devastated by the policies Yellen has helped to implement over the last 20 years, while she and her fellow elites have done quite well, being immune from the ramifications of their own actions.

The proof is in the numbers: While the top 20% of households still have about $500 billion of pandemic-era excess savings, everyone else has run out of money. The bottom 20% of households have not only depleted their excess savings, but also their savings that existed before the pandemic. Now, many American homes are falling into debt.

Treasury Secretary Janet Yellen speaks about the tate of the International Financial System in June.

Treasury Secretary Janet Yellen testifies during the House Financial Services hearing. (Getty Images)

Credit card debt in particular has exploded over the last three years, hitting $1 trillion for the first time as over 60% of families live paycheck to paycheck and accumulate debt to make ends meet. Worre still, this is happening as credit card interest rates hit record highs – burying families under financing charges that are growing faster than many can afford to pay.

Yet, even as the middle class are clearly being crushed, Yellen continues advocating for more taxes and spending, burdensome financial regulations, and the constant printing of money to pay for it all. She promotes, in other words, the burgeoning federal budget at the expense of the family budget, and still has the gall to say that “everything is fine.”

Perhaps that’s because she and the rest of the ruling class are doing just fine themselves. But “let them eat cake” is no answer for a hungry people. And no amount of decadence and ignorance will change the fact that the engine of the American economy is the middle class. When it stalls out, Yellen’s condescending world view will be exposed for the sham it is.

E. J. Antoni is a public finance economist at The Heritage Foundation.

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Dr. Kevin Roberts is president of the Heritage Foundation. He serves as the seventh president in Heritage’s 48-year history.

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