Janet Yellen, Treasury Secretary said that the employment level in the United States could rebound by 2022 to the pre-pandemic levels if Joe Biden’s COVID-19 stimulus package is passed by the Congress.
While talking on CNN on Sunday, Yellen said that the package is entirely planned for speeding the recovery process. Analysis of the same has been performed by the Brookings Institution’s economists and Moody. It vividly concludes that the Americans will quickly get back to work after the implementation of this package.
Yellen also expects the nation to get back to full employment by 2022 if the package is passed by the Congress. She also stated that the consequences of disapproving this stimulus bill will not be good for the nation.
According to a report from the Budget Office of the Congress, the unemployment rate in the country will remain high for many years to come if the required additional support is not provided. She said that the employment rate will take a very slow route to get back to 4% by 2025 if this package is not adopted. This recovery would be very long and slow just like the one that nation saw post financial crisis.
The relief package proposed by President Biden commits $1.9 trillion as an aid to the local governments and states. This amount will be used to fund the efforts for vaccination, temporarily improve the benefits for unemployed people, distribute $1,400 worth of stimulus check, and financially support the efforts of vaccination.
While talking at the ‘Face the Nation’ show of CBS, Yellen said that Biden’s proposed plan will help in taking out Biden from the deep financial black hole that the country seems to be in.