Former Federal Reserve chair Jerome Powell says the U.S. central bank would lose the credibility it needs to steady the economy if officials could be removed over policy disagreements. The warning landed as the Supreme Court weighs President Donald Trump’s effort to fire Governor Lisa Cook.
A Direct Defense of Central Bank IndependenceA decision affirming presidential authority to remove governors would, in Powell’s telling, hand every future administration the same lever and erode the firewall between politics and monetary policy.
