Tweet of the Day- Recession Doesn't Look Good in Any Color

In an article in February describing recent moves regarding nominations to the Federal Reserve, The Washington Post noted "the seven-member Fed Board of Governors is in charge of keeping prices stable and fostering maximum employment, along with regulation of the banking system."

The Board of Governors, under chairperson Jerome S. Powell, clearly is focused on preventing inflation from climbing further and disinterested in fostering employment.

Hey Sherrod, I'm happy for that. But, if our America-looking Fed raises rates enough to give us a bad recession, I will not be happy (and neither will America).

— Dean Baker (@DeanBaker13) September 23, 2022

In Senator Brown's "look like America," he evidently was referring to approval to the Board of Governors of the Federal Reserve System Michelle W. Bowman (who looks like a white woman), Lisa D. Cook (who looks like a black woman), and Philip N. Jefferson (who looks like a black man) to joing Lael Brainard (who looks like a white woman), Christopher J. Waller, Michael s. Barr, and Powell (who looks like a white man). There was no one who appears to be of Latin or Asian descent but the Board did then look a little more like America than it did with all white people.

If President Biden's appointees steer the Fed in the proper direction, one which will benefit Americans even if major banks suffer, lending  diversity to the Board will have been a major improvement.

Policy should triumph over an officials' appearance or racial makeup. Unfortunately, the generally wise Sherrod Brown had voted in favor of Jerome Powell's reappointment as Board chairperson. It appears that Powell, whose reappointment the generally wise Sherrod Brown supported, is satisfied with prompting a recession in hopes of stemming inflation. If that ensues, as now appears likely, white women, black women, and black men will be among the Americans crushed financially.

 

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