A senior economic adviser to U.S. President Biden said on Wednesday that economic activity will pick up as the epidemic subsides and Americans are vaccinated against the new crown, but recovery will be gradual and not happen overnight.
Jared Bernstein, a member of the White House Council of Economic Advisers, stated at the “The Wall Street Journal” (The Wall Street Journal) executive membership series that economic recovery is like a dimmable switch. Not an on-off switch. He said, “People will not restart on a fixed date because the vaccination rate has reached 53% or other reasons. This will be a more gradual process.”
Critics claim that President Biden’s $1.9 trillion stimulus plan has the risk of overheating the economy and generating inflation. Bernstein defended this. He acknowledged that rising inflation is a potential risk, but believes that a weak recovery will bring trauma to households and businesses, such as long-term unemployment, foreclosure and bankruptcy, which will cause even greater harm.
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