WSJ, Trump needs more than just a rate cut; he needs price stability to raise workers' 'real wages'
o WSJ argues that high headline inflation still burdens consumers and the Fed should focus on curbing inflation.
o Therefore, inflation stabilization is a priority over the rate cuts desired by the Trump administration.
o If Fed Chair Kevin Warsh succeeds in lowering prices, it will ultimately lead to improved real wages, which could also be politically beneficial for Trump.
For now, WSJ supports Keynes.
Will Kevin Warsh resist Trump's pressure (?) and raise interest rates this week? Boom!!!
▶ Original source: https://www.wsj.com/opinion/donald-trump-real-wages-economy-federal-reserve-kevin-warsh-ef1e9b69
