Powell Warns That Firing Fed Officials Over Policy Disagreements Would Destroy Institution

GateNews
According to Fed communications reporter Nick Timiraos, former Federal Reserve Chair Jerome Powell warned on Sunday evening that if any government removed Fed officials solely due to policy disagreements, the institution could not survive. Powell, now serving as a Federal Reserve Governor, emphasized legal safeguards designed to prevent arbitrary dismissal of Fed officials and noted that the executive branch plays no role in selecting or overseeing the 12 regional reserve bank presidents, who vote alongside Fed governors to set interest rates. "If any administration found reason to remove Fed officials over a policy disagreement, future administrations would do the same," Powell said. He stressed that the Fed's credibility, accumulated over decades, is an "invaluable asset" that he and his colleagues have a responsibility to protect.
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