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Slate News

Trump’s Plan to Politicize the Fed

Slate News

Slate Podcasts

News, Politics, News Commentary

4.56K Ratings

🗓️ 16 April 2019

⏱️ 19 minutes

🧾️ Download transcript

Summary

President Donald Trump has floated the idea of nominating former presidential candidate Herman Cain and conservative pundit Stephen Moore to policy seats on the Federal Reserve’s board. Would Cain and Moore alone swing interest rates? Probably not. But their appointments could erode non-partisan standards that make the Fed one of the most important economic institutions in the world.  

Guest: Jordan Weissmann, Slate’s senior business and economics correspondent.


Hosted on Acast. See acast.com/privacy for more information.

Transcript

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0:00.0

If there's one thing President Trump wants you to know, like really wants you to know,

0:09.2

it's that the economy is strong.

0:13.3

Since our election win, the stock market is up almost 50%.

0:20.3

You're looking like geniuses.

0:23.0

And America is now booming.

0:26.0

Like never before, other countries are doing very poorly.

0:29.9

We've created, since my election, 5.5 million new jobs.

0:36.3

Nobody would have believed that was possible.

0:38.9

But there is just one tiny little problem.

0:42.4

The Federal Reserve has started to haunt Trump's enthusiasm.

0:46.3

It's as if he's getting a scapegoat ready,

0:48.7

just in case the American economy hits the skids.

0:51.7

If the Fed had done its job,

0:53.3

the stock market would be up 5,000 to 10,000 additional points. Trump tweeted this weekend.

1:01.8

The Fed is one of those topics that I feel like I should know about, and I do not.

1:06.5

That's kind of part of what I want to talk about. Jordan Weissman writes about the Fed for Slate.

1:10.9

How Donald Trump is actually one of the best things to ever happen to Fed writers.

1:20.8

For a long time, the Federal Reserve has been the most important economic institution, possibly in the world. And nobody gives a damn.

1:31.0

Typically people just like do not care about the Fed. But Donald Trump has this way of just,

1:37.5

you know, taking the driest topics and turning them into a reality television style feud.

1:42.7

And he's done that with the Federal Reserve.

1:46.4

Trump is mostly pissed off that the Fed raised interest rates last year.

...

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