Welcome to the online version of Of the policy desktopA bulletin that gives you the latest report and analysis of the NBC News Politics Team of the White House, Capitol Hill and the campaign.
In today’s edition, Rob Wile broken down the possible economic consequences of President Donald Trump’s last attack against the Federal Reserve. In addition, Jonathan Allen explains what it is, and it is not, in the executive order of Trump flag flag.
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– Adam Wollner
Trump runs the risk of economic calamity by manipulating the independence of the Fed
By Rob Wile
Economic and financial analysts warn that the attempt of President Donald Trump to fire Lisa Cook as governor of the Federal Reserve runs the risk of undermining the independence of the Central Bank, something that could finally put at risk the finances of the households of the United States.
On Monday night, Trump moved to Fire Cook for accusations of mortgage fraud. He quoted a “criminal reference” by the director of the Federal Housing Finance Agency William Ablict that claimed discrepancies in Cook mortgage application documents. Cook has refused to resign, and on Tuesday he said he was planning to file a demand challenging Trump’s move.
Cook serves in the Federal Reserve Committee to establish interest rates throughout the economy. To determine where that rate should be, the members of the committee weigh the risks for unemployment and inflation. When the labor market begins to seem weak, the Fed tends to reduce rates. When the risk of inflation is greater, it tends to increase them. Both movements carry risks: higher rates can suffocate economic growth, while lower rates can lead to balloon inflation.
Trump has requested lower rates since he assumed the position, citing a general desire to strengthen economic growth while discarding concerns about inflation. Although the previous presidents have expressed opinions on monetary policy, Trump’s influence attempts have no precedents, no Fed member has been eliminated by cause.
It is activating alarms, not only about disagreements on interest rates, but for what undue influence in the Fed could do to the economy. Academics have constantly concluded that interference with the independence of central banks such as the Federal Reserve can lead to inflation worsening, since it eliminates a key control of the government’s tendency to borrow as much money as possible.
“The presidential capture of the Fed would indicate to decision makers throughout the economy that interest rates will no longer be established on the solid database or economic conditions, but in the president’s whims,” the Institute of Economic Policy said in a statement.
“The confidence that Fed will respond wisely to future periods of macroeconomic stress, either in excess of inflation or unemployment, will evaporate,” he added.
Read more than Rob →
What Trump’s executive order on flag burning really does
Jonathan Allen analysis
President Donald Trump shot a storm yesterday by announcing that he had signed an executive order that prohibits the ardor of the flag and penalizing the law with a one -year prison sentence.
Some about political law criticized the unilateral limitation of freedom often associated with freedom of expression.
“Never in a million years would damage the American flag,” wrote the conservative radio host Jesse Kelly in X. “But a president who tells me that I cannot have me as close as I will always be to illuminate one in flames. I am a free American citizen. And if I ever want to set up one, I will do it. This is garbage.”
It is not surprising, given the statement of the president, that some people were confused about their powers. But he still does not have the authority to make laws or create criminal sanctions for violating them on his own. Congress needs to do that.
As many of his critics noticed, along with some of his allies, the Supreme Court has been very clear in the past that the burning of flags is protected as freedom of expression under the first amendment. This interpretation of the law is considered thus established by elected officials that efforts to prohibit the burning of flags in Congress have taken the form of a proposed constitutional amendment.
And the idea that burning a flag is inherently criminal flies against the existing statute with respect to the old glory. According to Federal Law, burning is the preferred method to eliminate US flags.
Trump was certainly intended to turn on a controversy. His executive order instructs the attorney general to process people who burn flags while committing other crimes, for other crimes, and encourages the Department of Justice to prove the permanent protection of the Superior Court of the Banderas burning.
But what absolutely does not do is criminalize the burning of flag or establish a penalty to set the stars and stripes. That would desecrate article I of the Constitution, the part detailing the powers of Congress.
And some of his Republican allies think that he even suggest a prohibition, in front of the first amendment, is playing with fire.
🗞️ The other main stories today
- 🗣️ Call it as you want: Trump said he wants to change the name of his “great and beautiful bill,” arguing “is not good to explain to people what it is.” Read more →
- 🤫 Death for a thousand cuts: The CDC silently reduced a federal-stated association that monitors diseases transmitted by food in early July. Read more →
- ⚖️ Watch what you made to do: A federal judge, who was appointed by Trump, launched the demand for the administration against all the federal judge in Maryland for their management of immigration cases. Read more →
- 🗺️ Is it over?: A Judge of Utah launched the current maps of the State Congress, discarding the legislature controlled by the Republican party illegally annulled a voting measure approved by the voters to reign in the redistribution of partisan districts. Read more →
- 🚫 I should have said no: The representative Mark Alford, R-MO., Said during a town hall that does not believe that the National Guard must be sent to the cities unless a governor requests it, which disagrees with Trump. Read more →
- 🛣️ (highway) 22: The Department of Transportation threatens to reduce federal funds to three states led by Democrat unless they apply the English language mastery for commercial drivers. Read more →
- 💬 This I’m trying: DNC president Ken Martin promised to facilitate a “conversation” at the party on Israel in the middle of the resolutions at the summer meeting of the party. Read more →
- ⛰️ (No) Blank space: While some Republicans want to see Trump’s face recorded in Mount Rushmore, experts say there is no place for him – or any other person. Read more →
- 💍 And in case you have not obtained the bit: Taylor Swift and Travis Kelce have announced their commitment. Trump wished them “Good luck.” Read more →
That’s all of the politics desk for now. Today’s bulletin was compiled by Adam Wollner and Ben Kamisar.
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