What’s with President Donald Trump and nominating statists to the Federal Reserve?
He was one of two presidential candidates in 2016 to go after the U.S. central bank – the other being Senator Ted Cruz (R-TX) – yet he continues to maintain the status quo. Here was an opportunity to take a bulldozer to the Eccles Building, but Trump is keeping things as they are.
Sad!
On Wednesday, President Trump nominated Nellie Liang to the central bank’s board of governors, an official who was instrumental in facilitating the Fed’s money-printing ways in the aftermath of the 2008 financial crisis.
From the Associated Press:
Liang was tapped by then-Fed Chairman Ben Bernanke to become the first director of the bank’s Division of Financial Stability, which was created in 2010 to manage risks following the country’s worst financial crisis since the 1930s.
The division has now grown to be as large as the Fed’s monetary policy division, underscoring the importance Fed officials now put on detecting potential instability problems after missing the warning signals in 2008.
Liang, who has a Ph.D. in economics from the University of Maryland, joined the Fed in 1986 as a research economist. She left the central bank last year to become a senior fellow at the Brookings Institution, a Washington think tank. She also serves as a consultant to the International Monetary Fund.
One other thing: she is a registered Democrat. In other words, a statist.
The worst part of it all is that she advocates printing money to prevent the economy from readjusting following a bust in the aftermath of a Fed-induced boom.
President Trump has been failing on the Fed.
The letters JFK were whispered in his ear.