Treasury Secretary Janet Yellen gave her most direct admission yet that she erred last year in predicting that elevated inflation wouldn’t pose a continuing problem.
“I was wrong about the path inflation would take,” Yellen said in an interview that aired Tuesday on CNN. “There have been unanticipated and large shocks to the economy that have boosted energy and food prices and supply bottlenecks that have affected our economy badly that at the time I didn’t fully understand.”
