As is known, US President Donald Trump recently announced that he dismissed FED member Lisa Cook for making false statements in mortgage agreements.
Lisa Cook filed a lawsuit today challenging President Donald Trump’s decision to remove her from office. Cook argued that the White House lacked the authority to do so and insisted she wanted to keep her position.
As tensions between the two continue, nearly 600 US economists signed a letter supporting Lisa Cook against Donald Trump’s impeachment attempt.
According to CNBC, 600 US economists said they support Lisa Cook’s independence and the Fed’s institutional independence.
“Sound economic policy requires a credible monetary policy institution, and a credible monetary policy institution requires the independence of the Fed.
In this context, we support Lisa Cook and the institutional independence of the Fed.
Trump’s claim is based on unproven allegations. We believe this is an attempt to undermine the Fed’s independence.
Central bank independence has been a cornerstone of the U.S. economy’s vitality for decades.
We stand with Lisa Cook and the institutional safeguards that have long been the foundation of American economic strength.”
The letter of support for Lisa Cook included the names of scientists such as Nobel Prize winners in Economics Joseph Stiglitz, Claudia Goldin, Alvin Roth, Paul Milgrom and Paul Romer, as well as former Fed economists and former chairs of the White House Council of Economic Advisers (CEA), Christina Romer and Jared Bernstein.
*This is not investment advice.