this post was submitted on 27 Aug 2025
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While past presidents have expressed views about monetary policy, Trump's attempts at influence are largely unprecedented — no Fed member has ever been removed for cause.

Economic and financial analysts are warning that President Donald Trump’s attempt to fire Federal Reserve governor Lisa Cook risks undermining the central bank’s independence — something that could ultimately put U.S. households’ finances at risk.

Late Monday, Trump moved to fire Cook over allegations of mortgage fraud. He cited a “criminal referral” from Federal Housing Finance Agency Director William Pulte that alleged discrepancies on Cook’s mortgage application documents. Cook has refused to step down, and on Tuesday, she said she was planning to file a lawsuit challenging Trump’s move.

Cook serves on the Federal Reserve’s committee for setting interest rates throughout the economy. To determine where that rate should be, the committee members weigh risks to unemployment and inflation. When the job market starts to look weak, the Fed tends to lower rates. When the risk from inflation is greater, it tends to increase them. Both moves carry risks: Higher rates can stifle economic growth, while lower rates can lead to ballooning inflation.

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[–] Shirasho@lemmings.world 27 points 8 months ago

Trump is a failed businessman trying to treat the country as a business, and is acting like a CEO instead of a leader. If course it is going to fucking fail.

[–] thefluffiest@feddit.nl 17 points 8 months ago

You’re talking about a guy who managed to bankrupt a casino. So expecting him to not damage the economy means your basic assumptions don’t line up.

[–] adarza@lemmy.ca 14 points 8 months ago

if FHFA had anything 'criminal' on her--that wasn't made-up bullshit, they'd have already filed criminal charges or presented that 'evidence' to a grand jury for indictment.

[–] prole@lemmy.blahaj.zone 9 points 8 months ago (2 children)

Risky? More like catastrophic. Is there any benefit to anyone whatsoever beyond Trump himself? Risk implies some sort of benefit...

Seriously, I'm glad the experts are stepping in to say "I'm not so sure about this."

[–] Corkyskog@sh.itjust.works 1 points 8 months ago

Yes. Vast sums of wealth can be accumulated by destroying the economy if you make the right bets.

[–] masterofn001@lemmy.ca 9 points 8 months ago

More succinct headline:

trump is risky.

[–] 0li0li@lemmy.world 8 points 8 months ago (1 children)

Sorry to say, but at this point: fuck the US economy...

[–] GraniteM@lemmy.world 6 points 8 months ago

Curious: What happens when the white ethnonationalist wing of the Republican party fucks the country up so bad that it starts to interfere with the business interests of the unregulated oligarch wing of the Republican party?

[–] CharlesDarwin@lemmy.world 5 points 8 months ago

You think Krasnov cares?

[–] ViatorOmnium@piefed.social 1 points 8 months ago

So is shifting tariffs on a daily base.