Former Federal Reserve Chairs Ben Bernanke and Janet Yellen have cautioned that President Donald Trump‘s ongoing pressure on the current Fed chief, Jerome Powell, could have dire long-term consequences for the U.S. economy.
What Happened: Bernanke and Yellen, in an op-ed published by The New York Times on Monday, emphasized the importance of maintaining the central bank’s independence. They urged Trump to select a successor for Powell who would continue to uphold this independence.
The ex-Fed chairs stated, “President Trump, like all Americans, is entitled to express his views on monetary policy. He will have a chance to put his stamp on the Federal Reserve by nominating someone to succeed Mr. Powell when his term ends next spring.”
They further advised Trump to nominate a candidate who would “keep an appropriate distance between the Fed and short-term politics,” and is committed …