Treasury Secretary Janet Yellen said the Biden administration is aiming to boost U.S. economic capacity by focusing on issues like labor supply and public infrastructure, an approach she called “modern supply-side economics.”
The administration’s approach is a departure from traditional supply-side economics, which seeks to promote economic growth through tax cuts and deregulation, Ms. Yellen said in a speech Friday to the World Economic Forum. She pointed to a bipartisan infrastructure bill that became law last November and President Biden’s proposal for social programs—such as child care and paid family leave—and climate-change initiatives as examples of the administration’s approach to economic policy.
