On the campaign trail, Donald Trump has attacked Federal Reserve Chairwomen for “doing political things” by keeping interest rates low.
In response to Donald Trump’s statements, Janet Yellen today announced before Congress that she would not resign as Chairwomen until her term was up despite the future president’s desire.
We are possibly seeing the opening moves of a conflict between the president-elect and the Federal Reserve play out in the media .
It’s hard at this point to confidently conclude what Donald Trump’s position is as it relates to the Fed. However, we can look to history to help provide guidance.
Andrew Jackson was also a populist president that was openly hostile to the Bank of the United States, which was the forerunner of the Federal Reserve. After a tumultuous economic battle, Jackson prevailed and succeeded in closing the bank, ending central banking in the United States for almost a century.
Could Donald Trump be taking on the crusade to end central banking in America or are his statements merely political bluster? Only time will tell.