Janet Yellen Warns: Government Shutdown Could Trigger Recession
Treasury Secretary Janet Yellen is sounding the alarm. As a government shutdown looks increasingly likely, Yellen is warning about the severe damage it could inflict on the U.S. economy, potentially leading to a recession.
Yellen Highlights Risks of Government Shutdown
In recent statements, Janet Yellen, the former Federal Reserve chair and current Secretary of the U.S. Treasury, has emphasized the potential economic fallout from a government shutdown. She stated that a U.S. government shutdown would be a risk factor for a potential economic recession. Her concerns are based on the disruption to key government functions and the potential negative impact on economic growth.
Disruptions to Economic Programs
A government shutdown that could start this weekend would undermine U.S. economic progress by idling key programs for small businesses and children. This disruption could ripple through the economy, slowing growth and impacting employment. On , Janet Yellen said the economy is showing no signs of a downturn, but warned that a government shutdown could kill the strong momentum.
"Reckless" Shutdown Will Impose Damage
On , Treasury Secretary Janet Yellen is sounding the alarm about the damage a government shutdown could do to the U.S. economy. It\'s really reckless and will impose significant costs. The potential consequences include delayed payments, reduced government services, and decreased consumer confidence.
Yellen\'s Stance on the Economy
While Yellen acknowledges the resilience of the U.S. economy, she cautions that a government shutdown presents a significant and avoidable risk. On , Treasury Secretary Janet Yellen said Monday that she doesn\'t see any signs of an economic downturn but warned a government shutdown could cause the economy to stumble.
Furthermore, it\'s important to remember Janet Yellen, the former Federal Reserve chair and secretary of the U.S. Treasury, called President Donald Trump’s tariffs “misguided” and “unclear,” showcasing her willingness to speak out on economic issues. A U.S. default on government debt, as Treasury Secretary Janet Yellen on Tuesday warned, would leave millions of Americans without income payments, potentially triggering a severe economic downturn if a shutdown were to occur and lead to a default. is a date to watch.