Republicans have launched a campaign to call on President Donald Trump not to reappoint Federal Reserve Chair Janet Yellen, who is set to hold a meeting with him on Thursday as the president narrows his search for the next leader of the U.S. central bank, Bloomberg informs.
Representative Warren Davidson, a Republican from Ohio and member of the conservative House Freedom Caucus, is circulating a letter to colleagues on the House Financial Services Committee to sign against Yellen’s re-appointment, he said.
“I’m not sure we can make the Fed great again, but we can make it better than it has been,” Davidson said. “Janet Yellen would not be a great successor to Janet Yellen.”
Davidson mentioned Yellen’s approach to regulatory enforcement as key to his opposition. “The way she’s applied the regulatory framework outside of monetary policy is one of my main concerns,” Davidson said, adding that strict stances on some rules have “led to slower economic growth.”
House Conservatives have been one of the biggest critics of the Federal Reserve since the financial crisis, approving several pieces of legislation aimed at constraining the central bank, including requiring it to follow a policy rule and subjecting it to government oversight if there were deviations. Yellen reached out to lawmakers at the start of her term in 2014 but her relations with the Republicans have remained tense.
The House of Representatives has no direct power to halt the Fed chair, who is nominated by the president and confirmed by the U.S. Senate.
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