Replacing Jane L. Yellen as Fed Chairwoman

Janel L. Yellen is the current chairwoman of the Federal Reserve. This is a position that she has held since February 2014 after being appointed by Barack Obama. Since that time, she has managed to steadily bring down the rate of unemployment in America while at the same time ensuring that inflation is at its all-time low. In fact, few Fed chairmen have been able to achieve this feat. Nevertheless, she is not sure whether she will serve her second term as President Trump is reluctant about nominating her for the second time. At the same time, people close to the White House affairs can confirm that some of the aides of the president want the chairwoman to be replaced. This is just one of the many polarizations that have characterized American Politics for the past few years. As a matter of fact, three previous Fed chairmen were appointed to the position by the president of the opposite party. However, Mrs. Yellen looks set to leave her position after some Republicans have expressed their desire to oust her. This is partly attributed to the fact that she is a registered Democrat. Beyond this, she has also stood for her post-crisis financial regulations which have been heavily criticized by the current administration.

The current Fed chairwoman may also lose her position due to her past success. The tranquility of financial markets coupled with steady economic growth has given critics a good chance to ask for new leadership. However, President Trump sees the risk that replacing the Fed chairwoman carries. He sees it as an unnecessary risk to the country’s economic growth. He wouldn’t want to risk this considering that he has in the past boasted about the success of his administration. A New York economic research firm president Julia Coronado says that the economy is moving along with the measures put in place under Mrs. Yellen. Julia Coronado works for the MacroPolicy Perspectives. She further says that this is happening despite the mess that’s going around everywhere. When Mrs. Yellen leaves her position, she will most likely get replaced by four people who President Trump has talked about. These people are Kelvin Warsh who is a partner at Hoover Institution and a former Fed governor. Another person likely to be considered is John B. Taylor. This is a Stanford University economist. The other two are Jerome H. Powell and Gary D. Cohen, the present economic advisor.

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