Americans Will Experience Some Inflation - warns White House Posted: May 2nd, 2021 - 10:39 am
Council of Economic Advisers chair Cecilia Rouse said on this week’s broadcast of “Fox News Sunday” that they expect to see some “transitory inflation” as America is coming out of the coronavirus pandemic.
Anchor Chris Wallace said, “Can you guarantee with all this spending that we are not going to have a new round of overheating the economy and serious inflation?
Rouse said, “These are very serious concerns, and we know that coming out of an extremely deep recession that there are going to be bumps along the way. We expect that there is going to be supply chain disruptions. That will cause some transitory increases in prices. ”
She continued, “We know that there are some places where employers are struggling to workers because, let’s face it — we’re still in the middle of the pandemic. Some workers would like to go back to work but have font child care because schools are not open and the pandemic is still out of control in certain parts of our country. When we get to the other side of this pandemic, I fully expect that our labor market will come back and be flourishing. That said, we do expect some transitory price increases. The Feds expects that as well. We do not see evidence at the moment that those have become what we call de-anchored so that we expect runaway inflation. That said, we know we have to be vigilant, and we are watching the data. We expect, at the most, transitory inflation. That is what we expect coming out of a big recession.”
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