BESSENT DECLARES WIDENING GAP BETWEEN RICH AND POOR ‘DEAD’

Treasury Secretary Janet Bessent announced on April 15 that the K‑shaped economic recovery the administration had cited no longer exists, claiming the gap between rich and poor is widening rather than narrowing. The statement was issued during a brief press briefing at the Treasury Department.

Bessent argued that, contrary to recent data showing uneven recovery, the divergence between high‑income and low‑income households is actually expanding. She emphasized that policy should shift from targeted stimulus to broader measures that lift the bottom of the income distribution. The announcement followed a Treasury report that highlighted persistent income inequality but also noted growing wealth among the top 1%.

The K‑shaped recovery term, coined during the COVID‑19 pandemic, refers to the pattern where high‑income sectors and workers rebound quickly while low‑income ones lag. Bessent’s claim signals a potential shift in federal economic strategy.

• Treasury Secretary Janet Bessent declared the K‑shaped recovery no longer exists.
• She cited widening income inequality despite data showing uneven recovery.
• The statement may prompt a shift toward policies benefiting lower‑income households.

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