Yellen Claims Trump's Deportation Plan May Boost Inflation

In a recent dialogue, Treasury Secretary Janet Yellen asserted that President Trump's mass deportation strategy risks elevating inflation rates. Yellen stated that migrants contribute significantly to the U.S. economy, especially within agricultural sectors, enhancing the production of goods. The pandemic-induced influx of workers, in conjunction with record participation from adult women, has positively impacted the job market and helped mitigate inflation. In contrast, financial analyst Mike Lee contested Yellen's viewpoint, arguing that mass deportations would not exacerbate inflation, particularly in the context of the housing crisis. Lee noted that if millions of workers suddenly left, it could negatively impact housing prices and overall economic stability. He highlighted that government expenditure related to undocumented workers is substantial, amounting to over $650 billion annually. Moreover, Lee emphasized that the role of low-wage jobs occupied by migrants does not translate into a significant economic cost driver. His comments suggest that the political implications of Yellen's statements overshadow economic realities. The discussion unveiled the complexities of labor supply, economic contributions of immigrants, inflation, and the evolving landscape of big tech amidst these economic debates.