In the wake of the United States incurring hundreds of billions in new debt, and allocating more than $75 billion for Ukraine, U.S. Treasury Secretary Janet Yellen asserted this Monday that the country has the financial wherewithal to support two separate conflicts.
Yellen Maintains U.S. Has Adequate Financial Resources for Dual Conflicts Amid Escalating Debt and Impending Mid-November Shutdown
A month ago, mere hours before a potential government shutdown, President Joe Biden signed into law a bill ensuring 45 days of continued governmental operations. However, if a bipartisan consensus on fiscal matters remains unattainable, another shutdown could be imminent by mid-November. In an interview with the United Kingdom’s Sky News, Yellen discussed the ongoing conflicts involving Russia and Ukraine, as well as Israel and Hamas.
During the discussion, Yellen was cautious in estimating the economic impact of the latest unrest in the Middle East, but she did recognize the rising energy prices. Her statements marked a departure from her comments last May, in which she had cautioned about a prospective U.S. debt default by June. This Monday, she emphasized that the U.S. has the financial resources to sustain military efforts in both Ukraine and Israel.
“In securing funds for both Israel and Ukraine, this is a top priority,” Yellen stated to Sky News anchor Wilfred Frost. “The onus really lies with the House to select a Speaker and to set the legislative agenda,” she continued.
Further Details by Yellen:
The United States is unquestionably capable of fulfilling Israel’s military requisites and also has the resources to earnestly back Ukraine in its confrontation with Russia.
Yellen’s latest remarks align with her previous position on Ukraine. Prior to the G20 Summit in July, she stressed that supporting Ukraine was crucial for maintaining global economic stability. Regarding the capability of the U.S. Treasury to deter potential intervention by Iran, Yellen offered a reserved response:
“Diplomatic discussions are indeed underway, but I prefer not to divulge further specifics,” Yellen commented.
Over the past decade, the United States has seen a relentless rise in its national debt. Additionally, the recent spikes in both interest rates and inflation have led to ballooning interest expenses. As of October 16, 2023, at 1:20 p.m. Eastern Time, data from usdebtclock.org revealed the U.S. national debt at an eye-watering $33.56 trillion. This interview with Yellen took place shortly before her scheduled meeting with financial experts in Luxembourg.
What are your views on Yellen’s assertion that the U.S. has the financial resources to support two military conflicts? We invite you to share your insights and viewpoints on this matter in the comments section below.
Frequently Asked Questions (FAQs) about Janet Yellen Financial Capability
What did Janet Yellen recently say about the U.S. financial capability to support wars?
U.S. Treasury Secretary Janet Yellen stated in an interview with the U.K.’s Sky News that despite the U.S.’s increasing national debt, the country has the financial resources to support military efforts in both Ukraine and Israel.
Is there a potential government shutdown looming in the U.S.?
Yes, if a bipartisan agreement on government spending is not reached, another U.S. government shutdown could occur by mid-November. This comes after a near-shutdown last month, which was averted by President Joe Biden signing a 45-day operational continuation bill.
What is the current state of the U.S. national debt?
As of October 16, 2023, the U.S. national debt stands at approximately $33.56 trillion, according to data from usdebtclock.org. The debt has been on a steady increase over the past decade, and recent spikes in interest rates and inflation have exacerbated the situation.
Did Janet Yellen mention any other global conflicts?
Yes, besides the conflicts involving Ukraine and Israel, Yellen also discussed the unrest in the Middle East, specifically mentioning rising energy prices. However, she was cautious in estimating the economic impact of the latest turmoil in the region.
What was Yellen’s stance on Iran’s potential involvement?
When asked about the capability of the U.S. Treasury to deter Iran from intervening in conflicts, Janet Yellen stated that diplomatic conversations are underway but did not provide further specifics.
Was there any change in Yellen’s stance compared to her earlier statements?
Yellen’s latest remarks do indicate a departure from her statements last May, where she warned of a possible U.S. debt default by June. In her recent interview, she emphasized that the U.S. could financially support military efforts in both Ukraine and Israel.
What was the context of Janet Yellen’s recent statements?
Yellen’s interview occurred shortly before her scheduled meeting with financial experts in Luxembourg. Her remarks also come in the wake of the U.S. allocating more than $75 billion for Ukraine and amid concerns of a potential mid-November government shutdown.
Is supporting Ukraine and Israel a priority for the U.S. according to Yellen?
Yes, Janet Yellen underscored that securing funds for both Israel and Ukraine is a top priority for the United States. She also mentioned that the onus lies with the House to select a Speaker and set the legislative agenda to enable this support.
More about Janet Yellen Financial Capability
- U.S. National Debt Statistics
- Sky News Interview with Janet Yellen
- Latest U.S. Government Shutdown News
- U.S. Military Funding for Ukraine and Israel
- G20 Summit July Statements
- Rising Global Energy Prices
- U.S. Bipartisan Agreement Efforts
- Janet Yellen’s Past Statements on U.S. Debt
- U.S. Inflation and Interest Rates Update