Kevin Hassett, Director of the National Economic Council, addressed concerns about the U.S. economy on ABC News' "This Week." He stated that real wages are increasing, despite high gas prices and inflation. Hassett claimed that positive economic news is being overlooked, asserting that real incomes are on the rise.
However, data from the Bureau of Labor Statistics indicated that wages increased by 3.6% over the past year, while inflation rose by 3.8%. Recent surveys from Gallup and the University of Michigan revealed a decline in Americans' economic confidence, with consumer sentiment hitting its lowest recorded level.
When questioned about the impact of rising energy prices and the ongoing conflict in the Middle East, Hassett acknowledged the challenges posed by high energy costs but expressed optimism that the situation would improve. He emphasized that Americans will ultimately assess their economic situation based on their financial circumstances.
Hassett also addressed comments from Exxon Mobil's Neil Chapman regarding low oil inventory, asserting that there is sufficient inventory available to meet demand. He stated that both private and government inventories remain high, providing a buffer against potential price increases.