WASHINGTON (NEXSTAR) — While the U.S economy is on track for recovery, some lawmakers say the current rapid growth will bring problems.
“The warning siren for problematic inflation is getting louder,” said Sen. Pat Toomey (R-Pa.)
Toomey says there is cause for concern. U.S inflation continues to accelerate, reaching 5.4% in June, as increased demand for goods drives up prices.
“None of us wants inflation,” Sen. John Kennedy (R-La.) said.
Kennedy says it is not sustainable for Congress to keep pumping money into the economy.
“We’re going to have more inflation and we’re going to start raising prices. You don’t have to be Einstein’s cousin to figure that out,” Kennedy said.
Federal Reserve Chair Jerome Powell says the government is keeping a close eye on inflation but isn’t ready to take corrective action now.
“We will need to get back on a sustainable path at some point. I think the time to do that is when the economy is strong,” Powell said.
“And since the fed has proven unable to forecast the level of inflation, why should we be confident that the fed can forecast the duration of inflation?” Toomey asked.
Democrats like Sen. Sherrod Brown (D-Ohio) say if Republicans are really worried about the economy, they should cooperate with them to give the country a boost.
“The biggest risk to our economy … is not doing enough to empower workers,” Brown said.
And Sen. Maria Cantwell (D-Wash.) says protecting the economy means rebuilding the U.S supply chain.
“A robust supply chain in the United States of America means we’re going to continue to have robust employment in the United States of America,” Cantwell said.