Things are not good on the Biden team. As we reported, one reason is that Joe Biden is allegedly disappointed in Kamala Harris.
But she’s not the only one that they’re having an issue with. Treasury Secretary Janet Yellen is on thin ice, according to a new report.
The word is that the powers that be at the White House are unhappy with her ability to do her job. Astonishing—did they finally just discover that she doesn’t know what she’s talking about? How long was she talking about “transitory” inflation before she had to admit it was real?
Charlie Gasparino had some scoop on that.
As we have reported, the political types in the White House — the people that craft messaging and give input on cabinet choices — have been increasingly wary of Yellen’s ability to do the job despite her expansive resume and years running the Fed, people with direct knowledge tell the Post.
They grew sour over her bungled response to inflation (recall how she said it was transitory as it was exploding). It’s why they floated possible replacements last year, including Commerce Secretary Gina Raimondo, and Brian Moynihan, the CEO of Bank of America. Both are seen as policy heavyweights. Unlike Yellen, they have real-world business experience (Yellen’s been in academia and government throughout her career).
Yet she survived that attempt to get her removed because her ultimate boss, the president, didn’t want to fire a woman in such a high-profile post, these people say.
White House advisors are upset over her flip-flops when it comes to whether the government will guarantee deposits of banks if they fail. That sounds like bailouts.
But the problem? They’re not sure they have anyone with any better answers to replace her with.
“On one hand they’re kind of stuck with her; it would be bad to get rid of a Treasury Secretary during a banking crisis,” said one of my sources, who works at a large DC-based think-tank and has heard the griping firsthand. “On the other hand, they know they don’t have anyone good to be their face in terms of a response.”
The problem is that the fish stinks from the head down. That’s Biden (and the folks pulling his levers behind the scenes). So, even if they get rid of her, the policies are all still horrific.
The embarrassing grilling that she had this week in Congress shows how much at sea Yellen is. But, it also revealed just how much they intend to tax us. Sen. John Kennedy (R-LA) asked Yellen whether it was true that Joe Biden’s budget proposes $4.7 trillion in new taxes.
Q: Isn’t it a fact that the president’s proposed budget proposes $4.7 trillion in new taxes?
Sec. Yellen: It does propose significant additional taxes, yes.
Q: $4.7 TRILLION?
Sec. Yellen: Something like that, yes. pic.twitter.com/ncL1CAImlD
— John Kennedy (@SenJohnKennedy) March 23, 2023
Yellen looked embarrassed — as she should be — and Kennedy had to push her a little to answer, but she acknowledges yes, it was something like that number. Anyone who thinks they intend to get this amount in taxes just by going after the folks over $400,000 hasn’t been paying attention.
That answer was bad enough, but the clueless stare when Kennedy asks about the debt, and just how much is sustainable, is something else. This is just next-level bad.
.@SecYellen says Biden taking debt to 109 percent of GDP is "sustainable"; is unable to cite a level at which our inexorably growing debt will no longer be "sustainable" pic.twitter.com/DMKHuOQRsL
— Tom Elliott (@tomselliott) March 22, 2023
She thinks 109 percent is sustainable. This is going to do us in, and maybe that’s what they’re trying to do here. It certainly seems so, with these kinds of actions.
Then in response to Rep. Mark Amodei (R-NV), Yellen said that people don’t like the IRS because they haven’t been given enough resources. Yes, she said that.
Biden Treasury Secretary Janet Yellen: Public opinion of the IRS is "extremely negative" because the IRS isn't large enough pic.twitter.com/PqJljREkcA
— RNC Research (@RNCResearch) March 24, 2023
This was after admitting previously, as I reported, that 90 percent of the new IRS audits would be on people making under $400,000.
These wild remarks this week were after her astonishing testimony in the prior week, talking about the bank collapses and admitting they’re essentially picking winners and losers to save. The result of this action, as Sen. James Lankford (R-OK) said, would have people leaving community banks for the bigger banks or the “winners” that are being chosen. This type of response could crater the community banks.
This is truly incredible.
Here is an exchange with Senator James Lankford & Yellen.
He asks, "Will every community bank … get the same treatment as SVB?"
Yellen: "Banks only get the treatment if … the failure to protected uninsured depositors would create systemic risk." pic.twitter.com/qEF4Km90mJ
— unusual_whales (@unusual_whales) March 25, 2023
This is where this administration has brought us, to absolutely insane approaches.
But don’t worry, because Janet Yellen says our economy is “performing very well.”
JANET YELLEN: We have "an economy that is performing very well." pic.twitter.com/pgzKEecElx
— Townhall.com (@townhallcom) March 21, 2023
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