Sir, I appreciate your point of view about the Fed, intellectual conformity and the need for lower interest rates. But when I hear politicians from the president on down calling for lower interest rates I can't help but think their motivation is to spend, spend, spend at low borrowing costs. We'd all be better off if Washington spends more time bending the fiscal trajectory downward from the horrifying $36T that stands now and less time browbeating Jay Powell and Co.
As an example of an action the Trump administration should take, there is practically no justification for tariffs on Canada except if Canada uses imported ingredients in its exports that allow it to underprice American producers who would pay big tariffs on those ingredients.
Much of the trade with Canada is exempt from the nominal tariff rate, but solving the remaining part in the spirit of free trade would increase confidence that inflation will remain low.
To give a specific example, Quebec has ample hydroelectric power and can use that in the energy intensive process for refining aluminum. I don't see any valid economic or national security case for tariffs in Canadian aluminum.
Sir, I appreciate your point of view about the Fed, intellectual conformity and the need for lower interest rates. But when I hear politicians from the president on down calling for lower interest rates I can't help but think their motivation is to spend, spend, spend at low borrowing costs. We'd all be better off if Washington spends more time bending the fiscal trajectory downward from the horrifying $36T that stands now and less time browbeating Jay Powell and Co.
As an example of an action the Trump administration should take, there is practically no justification for tariffs on Canada except if Canada uses imported ingredients in its exports that allow it to underprice American producers who would pay big tariffs on those ingredients.
Much of the trade with Canada is exempt from the nominal tariff rate, but solving the remaining part in the spirit of free trade would increase confidence that inflation will remain low.
To give a specific example, Quebec has ample hydroelectric power and can use that in the energy intensive process for refining aluminum. I don't see any valid economic or national security case for tariffs in Canadian aluminum.