Washington – President Trump said Thursday that he would appoint a leading economic adviser to the Governors’ Council of the Federal Reserve for four months, temporarily fulfilling a vacancy while continuing his search for a longer -term appointment.
Trump said he appointed Stephen Miran, president of the White House economic advisers’ council to occupy a seat vacant By governor Adriana Kugler, a man named Biden who moves on Friday. Miran, if it is approved by the Senate, will serve until January 31, 2026.
“Stephen has a doctorate in economics from Harvard University and served with distinction in my first administration”, Mr. Trump written about social truth. “He has been with me since the start of my second term, and his expertise in the world of economics is unprecedented – he will do exceptional work.”
The appointment is the president’s first opportunity to exercise more control over the Fed, one of the few independent federal agencies remaining. Mr. Trump has Criticized tirelessly The current president, Jerome Powell, for having maintained the short -term interest rates unchanged, calling it “an obstinate mor” last week on social networks.
Miran was a major defender of Mr. Trump’s income tax reductions and pricing increases, arguing that the combination will generate enough economic growth to reduce budget deficits. He also played the risk of Mr. Trump’s prices generate higher inflationA major concern for Powell.
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The choice of Miran can increase concerns about political influence on the Fed, which has traditionally been isolated from daily policy. The independence of the Fed is generally considered to be the key to ensure that this can take difficult measures to combat inflation, such as increase in interest rates, which politicians may not want to take.
The governors of the Federal Reserve vote on all interest rate decisions of the Central Bank, as well as on its financial regulatory policies.
The appointment of Miran, if approved, would add a vote almost certainly in support of lower interest rates. Kugler had echoed Powell the point of view that the FED should maintain unchanged rates and further assess the impact of prices on the economy before making movements.
During his last recent meeting last week, Fed officials Keep their key level unchanged At 4.3%, where it took place after three rate drops at the end of last year. But two nourished governors – Christopher Waller and Michelle Bowman – dissidents of this decision. The two were appointed by Mr. Trump in his first mandate.
However, even with Miran on the board of directors, 12 Fed officials vote on interest rate policy and many remain concerned that Mr. Trump’s radical prices could push higher inflation in the coming months.
After the publication of the July job report last Friday, Miran criticized the president of the Fed for not having reduced interest rates, saying that Trump had been correct on inflation during his first mandate and would be again. The president has put Powell to reduce short -term interest rates under the conviction that his prices will not make more inflationary pressures.
“What we see now in real time is again a rehearsal of this model where the president will end up having been proven,” said Miran on MSNBC. “And the Fed goes, with a gap and probably too late, will end up catching up with the president.”