Big Business This Week: Will pressure on Fed chair Powell backfire?
By Peter S. Green
Economist Christopher Hodge provides analysis on the Fed’s independence and moves by the Trump Administration to inject itself into the business of business, from the Fed to corporations, and the consequences for the U.S. economy and markets:
“When a government intervenes in the economy to try to set the ‘appropriate’ price for something, you end up with shortages, which only drives up prices,” said Chris Hodge, chief economist at Natixis Corporate & Investment Banking, and a former Fed and Treasury official. “You remove the economic incentive for private sector actors to set whatever the appropriate prices are.”
Read the full article at Cheddar.com.