President Trump is once again unhappy with Federal Reserve Chairman Jay Powell after Powell remarks Following a move by the European Central Bank to cut interest rates at an economic event in Chicago.

Social Media Trump Posted“Always too late and wrong, Fed Jerome Powell issued a report yesterday that was another, typical, total ‘confusing!’ Powell’s ending can’t come fast enough! ”

Naturally, the knee response between Trump’s enemies is Fed Independence This is important yet ok. Trump has not directed monetary policy. He criticizes monetary policy, and Powell will definitely ignore it.

Certainly, as most presidents have done before, it’s not too uneasy if Trump is complaining to the Fed chairman. Quietly, usually using interlocutors such as the Treasury Secretary to convey the message. But that’s not the way Trump does it.

Trump is right about policy. As Trump admitted, his tariff avalanche is creating an addition Uncertainty and turbulence. The chances of a recession are still low, but I have it It’s up Over the last few months.

There is in inflation I checked A little bit, this is certainly temporary and quickly reversed.

It should not be overly led by the stock market, but recently Deep slide It suggests possible future problems. In this situation, the Fed must accelerate policy normalization by lowering the Fed’s funding rate. As Trump complains, Powell is again delayed as he responded to a surge in inflation following the pandemic.

But Trump’s complaints raises a more fundamental point. This means that the president should not be added in the Fed chair chosen by his predecessor.

To remember, President Obama Nominations Powell, a lawyer who joined the Fed in 2011. In one of his odorless appointments, Trump Promotion In November 2017, Powell took over Janet Yellen as Fed Chair. The nomination was accompanied by the usual sparkling language, but Trump didn’t appear to be happy with Powell and criticised the Fed’s policies, which were often publicly criticized. President Biden was pleased stretch Powell’s service as chairman for the period ending in May 2026.

Although there is a lot of disagreement regarding the Fed’s policies, few people challenge the Fed’s importance to the Fed’s economic future, or dispute the Fed’s chairman’s excellence in formulating Fed policies.

So why should Trump or the president wait more than a year before setting up a Fed chair that matches his views?

The simple answer is that the law says so, which suggests a terrible and necessary reform. The Fed’s term of office should expire at the beginning of the president’s term, and the chairman will continue to serve until he is released by the president or until his successor is confirmed by the Senate.

Federal government policies are fundamental to how the US economy develops in terms of inflation and unemployment.Double mission. “However, monetary policy works with considerable delays.

President Trump (and Republicans running in the election of their immediate family) are responsible for economic performance. Trump’s candidates to replace Powell next year could quickly change the Fed’s policies on funding rates, quantitative tightening and more, but the impact of the outcome will not be enabled until after 2027.

Trump, and all future presidents, should be able to choose their own Fed chairs as soon as they take office. If you own victory and loss, you should be able to choose a player.

JD Foster is a former Chief Economist at the Office of Business and Budget, a former Chief Economist and senior vice president of the US Chamber of Commerce. He currently lives in relative freedom on the hills of Idaho.

The opinions and opinions expressed in this commentary are the views of the authors and do not reflect the official position of the Daily Caller News Foundation.

All content created by the Daily Caller News Foundation is an independent, nonpartisan newswire service that is free to use for legitimate news publishers that can provide large audiences. All republished articles must include logos, reporter signatures and DCNF affiliation. For questions regarding our guidelines or partnerships with us, please contact licensing@dailycallernewsfoundation.org.