President-elect Donald Trump’s return to the White House already carried potentially sweeping changes for the Federal Reserve. But now a growing question is not how the Fed will operate under Trump but if it’ll continue to operate at all.

Cross-posted from https://lemmings.world/post/16505345

President-elect Donald Trump’s return to the White House already carried the potential for sweeping changes to the Federal Reserve. But now a growing question is not how the central bank will operate under Trump but if it’ll continue to operate at all.

Elon Musk, a key Trump backer who is expected to have considerable sway in helping shape Trump’s policies, included a “100” emoji while resharing Republican Sen. Mike Lee of Utah’s post on X calling for abolishing the Fed.

“The Executive Branch should be under the direction of the president,” Lee said Thursday in a post on X, hours after Fed Chair Jerome Powell told reporters he wouldn’t resign if Trump asked him to. “The Federal Reserve is one of many examples of how we’ve deviated from the Constitution in that regard,” Lee added. “Yet another reason why we should #EndTheFed.”

  • Avid Amoeba
    2·
    1 month ago

    At the end of the day the central bank is always dependent on the government. Sometimes at an arms length, other times at a finger length. The government controls the length and gives the authority to issue currency and provides the enforcement needed to ensure it’s one of the few issuers. So it might be more about government competency and its checks and balances.