Even the world’s top economists sometimes make mistakes. US Treasury Secretary Janet Yellen said she was wrong about the threat posed to the US economy by rising inflation.
In her recent interview, Yellen admitted her mistake. According to the US Treasury Secretary, “there have been unanticipated and large shocks to the economy that have boosted energy and food prices, and supply bottlenecks that have affected our economy badly". These factors had a negative impact on the US economy. "I didn’t at the time fully understand. But we recognize that now," Yellen said, commenting on her remarks in 2021 about a small risk of inflation. The US Department of Labor estimated that inflation in the country soared to a 40-year high of 8.5% in March.
