๐Ÿšจ๐–๐ข๐ฅ๐ฅ ๐š ๐’๐ฎ๐ฉ๐ž๐ซ ๐๐ฎ๐ฅ๐ฅ ๐‘๐ฎ๐ง ๐Œ๐ž๐ ๐š ๐‚๐ฒ๐œ๐ฅ๐ž ๐„๐ฆ๐ž๐ซ๐ ๐ž ๐ข๐ง ๐Ÿ๐ŸŽ๐Ÿ๐Ÿ“ ๐€๐ฆ๐ข๐ ๐‹๐ž๐š๐๐ž๐ซ๐ฌ๐ก๐ข๐ฉ ๐’๐ก๐ข๐Ÿ๐ญ๐ฌ ๐š๐ญ ๐ญ๐ก๐ž ๐…๐ž๐โ“

The President of the United States does not have the legal authority to remove the Chair of the Federal Reserve, such as Jerome Powell, solely due to policy disagreements. Under current law, removal is only permitted "for cause," which typically involves misconduct or an inability to fulfill the roleโ€”not differences in economic philosophy or interest rate decisions.

Former President Donald Trump has openly criticized Powell, recently stating that his removal "can't come soon enough," citing frustration over the Fedโ€™s reluctance to lower interest rates despite falling inflation and commodity prices. Although Trump has asserted he possesses the authority to dismiss Powell, this contradicts the established legal framework that protects the Federal Reserveโ€™s independence.

The U.S. Supreme Court is currently reviewing the extent of presidential authority over independent federal agencies, a decision that could have significant implications for future interactions between the executive branch and the Fed.

Jerome Powellโ€™s current term runs through May 2026, and he has indicated he will not step down if asked. He continues to underscore the importance of the Federal Reserveโ€™s autonomy in guiding economic policy for long-term national benefit.

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