{"id":253360,"date":"2024-08-11T18:05:37","date_gmt":"2024-08-11T18:05:37","guid":{"rendered":"https:\/\/michigandigitalnews.com\/index.php\/2024\/08\/11\/jd-vance-the-political-leadership-of-this-country-should-have-a-greater-say-on-the-monetary-policy-of-the-united-states\/"},"modified":"2025-06-25T17:12:34","modified_gmt":"2025-06-25T17:12:34","slug":"jd-vance-the-political-leadership-of-this-country-should-have-a-greater-say-on-the-monetary-policy-of-the-united-states","status":"publish","type":"post","link":"https:\/\/michigandigitalnews.com\/index.php\/2024\/08\/11\/jd-vance-the-political-leadership-of-this-country-should-have-a-greater-say-on-the-monetary-policy-of-the-united-states\/","title":{"rendered":"JD Vance: \u201cThe political leadership of this country should have a greater say on the monetary policy of the United States\u201d"},"content":{"rendered":"

[ad_1]
\n<\/p>\n

\n\t\t\t\t<\/p>\n
\n

My transcription of JD Vance\u2019s statement re: the Fed, on \u201cState of the Union\u201d, interviewed by Dana Bash today. Might\u2019ve gotten a few words wrong, but got the essence I think.<\/p>\n

\"\"<\/a><\/p>\n

(with apologies to the ProjectSyndicate graphic artist).<\/p>\n

JD Vance agreed with Trump\u2019s policy position, characterizing it as \u201cprofound\u201d. I outsource commentary on this policy prescription to Maury Obstfeld at PS<\/a> :<\/span><\/p>\n

\n

Trump\u2019s advisers are reportedly considering two complementary policy changes. One proposal\u00a0<\/span>reportedly<\/a>\u00a0involves increasing direct presidential control over the Fed\u2019s interest-rate decisions and rulemaking. Simultaneously, Trump\u2019s trade team, led by former US Trade Representative Robert Lighthizer, apparently wants to\u00a0<\/span>weaken the dollar\u2019s exchange rate<\/a>.<\/span><\/p>\n

\n

While\u00a0some Trump advisers\u00a0<\/a>have denied any plans to devalue the dollar, Trump\u2019s preference for lower interest rates and a weaker currency was\u00a0evident during his first term<\/a>. The proposed policies would make it easier for him to override the Fed\u2019s independence and achieve both objectives. The result would be a potent inflationary cocktail.<\/p>\n

Trump\u2019s desire for a weaker dollar is driven by his belief, shared by Lighthizer, that the dollar is \u201ctoo strong<\/a>.\u201d<\/p>\n<\/blockquote>\n<\/blockquote>\n

See also here<\/a>, for central bank independence in a Trump-Vance administration.<\/p>\n

\u00a0<\/p>\n

\u00a0<\/p>\n<\/p><\/div>\n

<\/p>\n