Dodd-Frank Wall Street reform law architects urged this Monday President Biden
Joe Biden: Social media worsens political polarization: reports that Johnson and Biden will meet this month for talks this month: reports that Toyota and Honda have incited the EV incentive made by joining the Dems MORE spending package re-appointing Federal Reserve Chairman Jerome Powell, despite opposition from progressives for his support in loosening key provisions of that legislation.
In a Monday post in The Hill, former Sen. Chris Dodd (D-Conn.) And Rep. Barney Frank (D-Mass.) Argued that Powell’s new appointment would give Biden “strong support” for approving a multimillion-dollar infrastructure. and the social services plan: what they called the “most important issue we face today.”
“We believe the national interest will be better for President Biden to re-appoint Jerome Powell to chair the Federal Reserve system,” Dodd and Frank wrote.
Biden is expected to announce in a few weeks whether he will reappoint Powell for another four-year term at the helm of the Fed before his current term expires in February. While Powell has broad bipartisan support, lawmakers and liberal activists are deeply divided over whether he should be reappointed.
Powell, a Fed-appointed Republican for a former President Obama
Barack Hussein Obama What’s at stake – and at stake – during the intervening periods Without drastic changes, Democrats are on the verge of losing much in 2022 By defeating the Newsom record, pro-election women would send a powerful message MORE and elevated to president by the ex President Trump
Donald Trump Democrats observe 26.5% of corporate tax that Iran accepts nuclear surveillance deal, avoids Old South censorship against New America: what Confederate monuments say about us MORE, is largely aligned with the White House’s view on inflation and employment. Both Biden and Powell have expressed concern about withdrawing support for the recovering economy too quickly in response to rising inflation and expect most of the recent rise in price growth to reverse relatively soon.
Powell’s liberal supporters argue that his fierce support for full employment gives bipartisan credibility to Biden’s views while helping the Fed consolidate a new transformative approach to its mandate.
Dodd and Frank added that Powell’s new appointment would give Biden crucial political coverage to advance his legislative economic agenda amid the growing Democratic struggle.
“The most important issue we face today is the enactment of President Biden’s comprehensive program that responds not only to the ravages of COVID-19, but to the underlying social and economic problems that have exacerbated its effects,” he wrote. strongly support this essential step. “
Immediately, for moderate Democrats, Powell offers a much larger shield against conservative accusations of fiscal irresponsibility than the very actions of a newly appointed Liberal. It also provides reassurance to those who are really concerned about rising prices, “they continued.
Biden and Congress Democrats are vying to end up with a package of up to $ 3.5 trillion in spending on infrastructure, health care, housing and social services, while funding the federal government and raising the debt ceiling.
Liberals who support Powell say Biden should not waste valuable time in the Senate and political capital replacing a well-respected official, synchronized with the White House on labor issues.
Critics of Powell, from the left desk, that his support for the relaxing rules imposed by Dodd-Frank, along with his unwillingness to push the Fed into the fight against climate change, make his views on monetary policy are irrelevant.
But the eponymous authors of the legislation disagree.
“Of course, macroeconomic policy is not the only issue in the Fed’s jurisdiction, and we recognize that Powell implemented some relaxation for the financial industry, but we don’t think that would surpass the case of re-appointing him.” they wrote.
Under Powell, the Fed has streamlined bank capital requirements, revised the ban on certain risky investments with bank capital, and relaxed the stress testing requirements initially imposed under Dodd-Frank.
“There were no major attacks on the legislation and nothing in Powell’s performance contradicts his claim that he supports the basic framework we established,” they wrote.
Dodd and Frank also argued that Biden could shift the Fed toward stronger regulations with a progressive candidate for oversight vice president, a position that will open in October, and have a much greater impact on climate change through the broad plan of democratic spending.
“We would like to be in a world where the Biden-Pelosi-Schumer team has plenty of votes. But, as we are not, sacrificing the strong support that the new appointment of Jerome Powell will provide for the analysis of the Biden package to gain marginal gains on an urgent issue on the left is a luxury that this country does not you can afford it, ”they wrote.