Summers Backs Bessent on Questioning Fed ‘Overreach’

There are three categories of issues that should be distinguished when we talk about Fed independence. The first is monetary policy setting the interest rate, deciding how much fuel's going to be given to the economy versus restraint for inflation. History teaches that the Fed should be autonomous and independent there, and that when the political process gets in their way, the result is more inflation, less economic stability and ultimately higher interest rates.That lesson is clear and needs to be insiste ...