Yellen: "We Do Not Pursue a Weak Dollar... Will Firmly Respond to Currency Manipulation"

Revealed This Way at Senate Confirmation Hearing

▲Janet Yellen, Nominee for Secretary of the Treasury [Image source=Yonhap News]

[Asia Economy Reporter Kwon Jae-hee] Janet Yellen, former Chair of the Federal Reserve (Fed) and nominee for the first Treasury Secretary of the incoming Joe Biden administration, stated that she "will not pursue an artificially weak dollar," according to a report by the Wall Street Journal (WSJ) on the 19th (local time).

At the Senate Finance Committee confirmation hearing that day, nominee Yellen firmly said, "The United States will not pursue an artificially weak dollar to gain a competitive advantage, nor will it tolerate attempts by other countries to do so."

She made sharp remarks targeting China, saying that "violent, unfair, and illegal practices such as dumping American products, erecting trade barriers, providing illegal subsidies to domestic companies, and stealing intellectual property rights must be addressed."

Nominee Yellen called for "big action" to respond to the economic recession and national debt.

Yellen said, "Without further measures, we will have to endure a longer and more painful recession," signaling a large-scale additional stimulus package to overcome the COVID-19 pandemic.

Regarding interest rates, which are at historic lows, Yellen said, "Issuing long-term bonds, especially when interest rates are low, has many advantages," responding positively to the possibility of issuing 50-year Treasury bonds.

She also added that there will be a potential demand survey for the issuance of 50-year Treasury bonds in the future.

Yellen emphasized, "The main policy focus will be on workers and laborers." She responded that she would provide quality jobs in urban and rural areas and expand employment to restore the competitiveness of the US economy.