Economic Collapse News
The 2016 election is finally over and Donald Trump is now beginning to form his transition team. As Trump starts to move into the White House, there is a movement among Trump’s supporters on social media urging the president-elect to nominate Ron Paul as the next chairman of the Federal Reserve.
Will Ron Paul succeed Janet Yellen at the helm of the United States central bank in a couple of years? Unlikely.
There are a few reasons to believe that Trump would tap Dr. Paul as the next head of the Fed.
First, Trump would not fall under the Paul camp. He is not a liberty-loving, small government, anti-Fed libertarian. Unlike Dr. Paul, Trump isn’t opposed to low interest rates, and he isn’t even completely opposed to Yellen. Over the course of the campaign, he has flip flopped on the matter several times (SEE: Donald Trump assures Janet Yellen he’s not her enemy, Federal Reserve audit isn’t high priority).
Second, there are two likely scenarios for the next Fed Chair: Yellen will be renominated or Trump will choose someone from the banking industry. With reports of Trump wanting one of two Wall Street guys to serve as Treasury Secretary, it’s unlikely he would pick a Ron Paul, a Tom Woods or a Robert Wenzel to lead the Fed. It’s either Yellen or a pro-Fed guy (it’s being reported that he isn’t urging Yellen to resign).
Third, it’s easy to conclude that not much will change at the central bank. As we have learned over the last few months, auditing the Fed isn’t a high priority for Trump anymore and he wants to keep rates low because of the national debt.
Fourth, would Paul even want the job? Likely not. He seems to be enjoying his life outside of Washington!
Paul serving as the 16th chairman of the Federal Reserve System is unlikely.
Besides, Trump wants to spend $1 trillion on infrastructure, he has no desire to cut spending and the budget deficit will likely soar over the next four years. This is the antithesis to Paul’s principles. There is no way Paul would turn on the printing press to fund more spending projects and more wars.
It would be nice, but it isn’t going to happen.