Treasury Secretary Janet Yellen contended on Monday that the United States can “certainly” afford to provide military assistance to both Ukraine and Israel.
Federal agencies have supported Ukraine with some $113 billion in military and humanitarian funds since Russian forces invaded the country early last year, while Biden administration officials are currently negotiating with Congress to pass $2 billion in aid for Israel as the nation responds to Hamas terrorists murdering civilians. Yellen affirmed in an interview that the United States could “absolutely” manage to support both foreign conflicts.
“America can certainly afford to stand with Israel and to support Israel’s military needs and we also can and must support Ukraine in its struggle against Russia,” Yellen asserted.
The senior official additionally claimed that the American economy has performed “extremely well” in recent months. “Inflation has been high and it’s been a concern to households, it’s come down considerably. At the same time, we have about the strongest labor market we’ve seen in fifty years,” she continued. “And at the same time, the Biden administration has passed legislation that is strengthening our economy in years to come for the medium-term.”
The remarks from Yellen come after inflation rates trended well above their typical 2% levels over the last three years and approached 9% last summer, according to data from the Bureau of Labor Statistics. Federal Reserve officials embarked on an unprecedented quantitative easing effort to stimulate the economy amid the lockdown-induced recession, while Congress passed spending packages meant to discourage business closures and maintain employment rates.
The United States also maintains a national debt which now surpasses $33.5 trillion, a benchmark which approaches 120% of annual economic output, according to more data from the Federal Reserve and the Office of Management and Budget.
President Joe Biden affirmed on Sunday that he spoke with Israeli Prime Minister Benjamin Netanyahu to express his “unwavering” support for Israel and “provide an update on our military support and efforts to protect civilians.” Israel has received more than $150 billion in bilateral assistance, marking the country as the largest cumulative recipient of American foreign aid since World War II, according to an analysis from the Congressional Research Service.
