News / Economy

Yellen Sees US Economy Accelerating in 2014

Janet Yellen testifies on Capitol Hill, Washington, Nov. 14, 2013.
Janet Yellen testifies on Capitol Hill, Washington, Nov. 14, 2013.
VOA News
Janet Yellen, who is set to take over as chief of the Federal Reserve next month, says she sees the American economy accelerating this year.
 
Yellen told Time magazine: "I think we'll see stronger growth this year." She said policy makers at the powerful U.S. central bank are hopeful that the U.S. economy will grow by 3 percent or more in 2014.
 
The U.S. economy advanced by 2.6 percent through the first nine months of last year, but recorded 4.1 percent growth in the July-to-September period. While economists say the fourth quarter advance may not have been as fast, the U.S. central bank says the country's economy continued to expand at a moderate pace in the last weeks of 2013.
 
The 67-year-old Yellen will be the first woman to chair the Federal Reserve in its century-long existence, succeeding Ben Bernanke as his eight-year tenure expires at the end of January. As head of the central bank overseeing the world's largest economy, her views could play an important role in global economic circles.
 
In the interview with Time, Yellen said the U.S. recovery from its steep recession in 2008 and 2009 "has been frustratingly slow." But she said the U.S. is "making progress in getting people back to work" and that the Fed expects that the country's inflation rate will edge higher toward the bank's 2 percent goal.
 
Yellen's views about the advancing U.S. economy are shared by others, including James Glassman, the chief economist at JPMorgan Chase, the country's biggest bank. He told VOA he expects that as economic problems ease in Europe and in the U.S., the American economy will grow by 3-and-a-quarter percent or more this year and even faster next year.
 
"The main thinking there is the European crisis is fading," he said. "Europe may not be growing that rapidly, but it is a distinct difference from last year. The housing problems in the U.S. seem to be behind us. And the fiscal sector, which has been pretty much of a drag for the last several years, seems as though that's beginning to settle down. So, a lot of reasons to think that 2014 should be a better year, a faster year of growth."
 
Yellen defended the Federal Reserve's lengthy program to buy billions of dollars of securities to pump more money into the U.S. economy, purchases it is now starting to trim as the U.S. economy improves. Yellen noted that critics of the program say it "is just helping rich people," but she said the purchase of securities has helped hold down long-term interest rates and encouraged consumer spending.

You May Like

IS Militants Release 49 Turkish Hostages

Turkey's state-run Anadolu news agency reports that no ransom was paid and no conditions accepted for the hostages' release; few details of the release are known More

Photogallery IS Attacks Send Thousands of Syrian Kurds Fleeing to Turkey

Syrian Observatory for Human Rights says more than 300 Kurdish fighters crossed into Syria from Turkey to defend a Kurdish area from attack by the Islamic militants More

Video Sierra Leone's Ebola Lockdown Continues

Thousands of health workers are going door to door in the West African country of 6 million, informing people of how to avoid Ebola, handing out soap More

This forum has been closed.
Comments
     
There are no comments in this forum. Be first and add one

Featured Videos

Your JavaScript is turned off or you have an old version of Adobe's Flash Player. Get the latest Flash player.
Fears Ebola Outbreak ‘Beyond Our Capability to Contain’i
X
Jeff Seldin
September 20, 2014 10:28 PM
Each day brings with it new warnings about the deadly Ebola outbreak already blamed for killing more than 2,600 people across West Africa. And while countries and international organizations like the United Nations are starting to come through on promises of help for those most affected, the unprecedented speed with which the virus has spread is raising questions about the international response. VOA's Jeff Seldin has more from Washington.
Video

Video Fears Ebola Outbreak ‘Beyond Our Capability to Contain’

Each day brings with it new warnings about the deadly Ebola outbreak already blamed for killing more than 2,600 people across West Africa. And while countries and international organizations like the United Nations are starting to come through on promises of help for those most affected, the unprecedented speed with which the virus has spread is raising questions about the international response. VOA's Jeff Seldin has more from Washington.
Video

Video Iran, World Powers Seek Progress in Nuclear Talks

Iran and the five permanent members of the U.N. Security Council plus Germany, known as the P5 + 1, have started a new round of talks on Iran's nuclear program. VOA State Department correspondent Pam Dockins reports that as the negotiations take place in New York, a U.S. envoy is questioning Iran's commitment to peaceful nuclear activity.
Video

Video Obama Goes to UN With Islamic State, Ebola on Agenda

President Obama goes to the United Nations General Assembly to rally nations to support a coalition against Islamic State militants in Iraq and Syria. He also will look for nations to back his plan to fight the Ebola virus in West Africa. As VOA White House correspondent Luis Ramirez reports, Obama’s efforts reflect new moves by the U.S. administration to take a leading role in addressing world crises.
Video

Video Migrants Caught in No-Man's Land Called Calais

The deaths of hundreds of migrants in the Mediterranean this week has only recast the spotlight on the perils of reaching Europe. And for those forunate enough to reach a place like Calais, France, only find that their problems aren't over. Lisa Bryant has the story.
Video

Video Westgate Siege Anniversary Brings Back Painful Memories

One year after it happened, the survivors of the terror attack on Nairobi's Westgate Shopping Mall still cannot shake the images of that tragic incident. For VOA, Mohammed Yusuf tells the story of victims still waiting for the answer to the question 'how could this happen?'
Video

Video Militant Assault in Syria Displaces Thousands of Kurds

A major assault by Islamic State militants on Kurds in Syria has sent a wave of new refugees to the Turkish border, where they were stopped by Turkish border security. Turkey is already hosting about 700,000 Syrian refugees who fled the civil war between the government and the opposition. But the government in Ankara has a history of strained relations with Turkey's Kurdish minority. Zlatica Hoke reports Turkey is asking for international help.
Video

Video Whaling Summit Votes to Uphold Ban on Japan Whale Hunt

The International Whaling Commission, meeting in Slovenia, has voted to uphold a court ruling banning Japan from hunting whales in the Antarctic Ocean. Conservationists hailed the ruling as a victory, but Tokyo says it will submit revised plans for a whale hunt in 2015. Henry Ridgwell reports from London.
Video

Video A Dinosaur Fit for Land and Water

Residents and tourists in Washington D.C. can now examine a life-size replica of an unusual dinosaur that lived almost a hundred million years ago in northern Africa. Scientists say studying the behemoth named Spinosaurus helps them better understand how some prehistoric animals adapted to life on land and in water. The Spinosaurus replica is on display at the National Geographic museum. VOA’s George Putic has more.
Video

Video Iraqi Kurdistan Church Helps Christian Children Cope find shelter in churches in the Kurdish capital, Irbil

In the past six weeks, tens of thousands of Iraqi Christians have been forced to flee their homes by Islamic State militants and find shelter in churches in the Kurdish capital, Irbil. Despite U.S. airstrikes in the region, the prospect of people returning home is still very low and concerns are starting to grow over the impact this is having on the displaced youth. Sebastian Meyer reports from Irbil on how one church is coping.


Carnage and mayhem are part of daily life in northern Nigeria, the result of a terror campaign by the Islamist group Boko Haram. Fears are growing that Nigeria’s government may not know how to counter it, and may be making things worse. More

AppleAndroid

World Currencies

EUR
USD
0.7768
JPY
USD
108.84
GBP
USD
0.6124
CAD
USD
1.0999
INR
USD
61.042

Rates may not be current.