Wednesday, December 26, 2018

Trump Campaign Economic Adviser: Trump Should Fire Fed Chair Powell "For Cause"

Stephen Moore
By Robert Wenzel

Oh, this is nuts.

It turns out that the supply-sider economist Stephen Moore is also an off-the-wall inflationist. He wants the money pumps on full blast and he wants that done now!

Moore said Sunday that the Federal Reserve is "the swamp" and President Trump needs to drain it By this he says he means that Trump has the power to remove Federal Reserve Chairman Jerome Powell and should do so.
In an interview with radio host John Catsimatidis on Sunday, Moore argued that Powell and the Fed are "wrecking our economy" by raising interest rates and unloading debt accumulated from quantitative easing. Moore, a fellow at the Heritage Foundation, said there is no inflation problem and called for more liquidity to be injected into the economy because "there's such a demand" for the U.S. dollar.

"We need to be putting more dollar liquidity into the economy because there's such a demand for dollars now all over the world," Moore declared. "Everybody wants to invest in the United States and at the same time, the world wants more dollars. The Fed is sucking them out of the economy and it has really hurt the stock market."

"Donald Trump wanted to drain the swamp," he said. "Well, John, the Fed is the swamp. The big question now that's been debated about is whether Donald Trump has the authority as president to replace the Federal Reserve Chairman. The law says he can replace the Federal Reserve Chairman for cause. I would say, well, the cause is that he's wrecking our economy."

So a tiny bit of conservative monetary policy is swamp action? This is view is monetary Keynesianism on steroids.

Be careful and buy some gold coins, the mad money printers are getting all too confident in spreading their views. Keep in mind, this guy was a Trump campaign economic adviser and is close to top Trump economic adviser Larry Kudlow. It is not difficult to think Trump will pay attention to Moore's comments.

Robert Wenzel is Editor & Publisher of


  1. Like most delusional wrecKonomists he doesnt live in the real world and wouldnt know fiscal responsibility if it walked up to him and slapped him and stole his wallet.

  2. Our position should short and simple: a) The free market does not fail, it did not fail, it does not lack or require "stimulus"and you cannot prove otherwise; and b) Why is a "free market" guy like Moore insisting that the market fails?

    I don't know if people realize this but in law school, they explain very emphatically for about 150 seconds that we now know that the market fails based upon the Great Depression and that's why it's now Constitutional (and essential) for the government to "manage" the economy. And don't you ever dare to try and claim otherwise.

  3. It has always struck me as odd that the same people who rail against the authoritarianism of Trump and Putin -- we can't have a few men making central planning decisions for society -- don't mind the authoritarianism of the folks at the Fed.