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Lawmakers Press Treasury Secretary on Rising Costs
The New York Times • • business
Key Points:
- Treasury Secretary Mr. Bessent claimed his intervention prevented bond yields from rising further and defended the Trump administration's economic record despite public concerns over inflation and the Iran war.
- He blamed inflation on the Biden administration, even though Trump has been in office for nearly two years, and likened the economy to a patient recovering after stabilization.
- Mr. Bessent supported Trump's proposal to give Americans a $5,000 dividend if Republicans retain Congress, acknowledging it could increase the national debt but offering no clear funding plan.
- The Treasury is reportedly studying the logistics of the dividend plan and plans to announce a fiscal consolidation initiative to address U.S. deficits, though no details were provided.
- The hearing was contentious, with Mr. Bessent facing criticism over rising inflation, military spending due to the Iran conflict, and deflecting blame onto the Biden administration amid protests and Democratic pushback.
