Commentary: WASHINGTON, D.C. – Joint Economic Committee Democrats released a report today explaining how Republicans are putting the economy at risk by pursuing an agenda that will feed bubbles, leave consumers and small investors vulnerable to fraud and abuse, and undermine financial stability.
The report, “Republican Agenda Threatens Market Stability, Puts Main Street at Risk,” highlights that market valuations are extremely high right now, which creates risk that a large correction could trigger a widespread economic downturn. Rather than mitigating this risk, Republicans have appointed hostile regulators, defunded agencies that monitor and address risk, and fostered a climate of uncertainty.
Further, their agenda would worsen income inequality and hurt future growth and financial stability.
The report also details that Republicans should instead focus on ensuring that financial risks are being monitored and addressed, enforcing the regulations that protect Main Street Americans, and growing the economy in a sustainable and inclusive manner.
In a recent JEC hearing, Federal Reserve Chair Janet Yellen suggested that Congress should support innovation, improve the nation’s infrastructure, and increase access to education. Republicans would be wise to abandon their misguided agenda and heed this advice instead.
Click here to view the report online.