Posted 3/14/2024, 1:32:00 PM
Yellen Regrets Dismissing Inflation as Transitory, Admits She Underestimated Ongoing Price Surges
- Yellen admits she regrets previously calling inflation "transitory" and saying it would only last a few weeks or months
- In early 2021, Yellen claimed rising inflation was temporary and would be around 3% through 2021
- Just a year later, inflation hit 9.1%, a 4-decade high
- This week data showed inflation ticked up again in February to 3.2% year-over-year
- Yellen now recognizes ongoing high inflation in housing and rents, though expects it to come down over time
