The American President Donald Trump has to occupy important positions in the Federal Reserve Bank – he needs new Directors who decide about the monetary policy in the largest economy in the world. His economic adviser Larry Kudlow has said, which profile should be the ones to have, would like to nominate the President. “The White house wants to be very powerful and competent people, who understand that high economic growth is possible without higher Inflation,” he said, according to a report by the financial service Bloomberg journalists.
The relationship between the American President and the Federal Reserve is currently strained. Last year, Trump was attacked on several occasions the Central Bank governors Jerome Powell and publicly accused him of to have the interest rates to rise quickly.
Among other things, Trump called the monetary policy just as the biggest Problem for the American economy. Last Powell, and other stars had signalled to bankers, in turn, to alter the course slightly and stresses, to make further increases in interest rates, new economic data. The investors have since then only of small Interest rate hikes this year, if at all.
economic adviser, Kudlow said that the vision of the candidate on the relationship between growth and Inflation is important for the selection of the White house. “This is our most important criterion.” It professionals understand that by improvements on the supply side, more people can work, higher wages and higher productivity can be achieved, without incurring a rise in inflation.