#Treasury Secretary Nominee Warns of Economic Crisis#

President Biden’s nominee for Treasury Secretary, Scott Bessent, warned at a Senate hearing that the U.S. will face an economic crisis that would devastate the middle class and working families if the bulk of the 2017 Republican tax cuts are not extended beyond their end-of-year expiration date. He pointed out that discretionary spending, which excludes benefits like Social Security and Medicare, has risen by a “staggering” 40% in the past four years and that the U.S. needs to “restore fiscal order” by adjusting domestic discretionary spending. Bessent also underscored the importance of addressing the budget deficit, stating that under his watch the federal government’s debt “will not default,” while he said he respects the Federal Reserve’s independence on monetary policy and supports expanding sanctions on Russian oil companies. Bessent’s remarks suggest that he believes the U.S. economy faces serious challenges and that action is needed to address the budget deficit and ensure continued economic stability.