202. What's The Cost Of Trump Controlling The Fed?
The Rest Is Money
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The Economic Implications of Political Influence on Interest Rates
This chapter explores how political influences may affect the US Federal Reserve's decisions on interest rates, noting a paradox where short-term rates decline while long-term borrowing costs increase. It warns of historical patterns that suggest risks of short-term stimulative measures leading to long-term inflation, which could jeopardize economic growth.
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