Joe Biden’s top economic adviser said the US economy had the “strength and resilience” to shield it from a recession, brushing off growing concerns that steep interest rate increases designed to fight inflation will quash the expansion.
Brian Deese, the director of the White House’s National Economic Council, spoke to the Financial Times as economists and chief executives are increasingly warning that the world’s largest economy will experience a downturn next year on the back of global weakness and much tighter monetary policy.
But the Biden administration is sticking to its view that the US will experience a form of “soft landing” with a shift to slower growth rather than a deep contraction, and a cooling of job growth rather than mass lay-offs.