MNI BRIEF: Barr Intends To Serve Full Term As Fed VC
Fed VC Barr testifies before Congress.
MNI (WASHINGTON) - Federal Reserve Vice Chair for Supervision Michael Barr on Wednesday said he will finish the full scope of his current central bank leadership term, and added that it is still too early to judge what impact President-elect Trump's proposals might have on the economy.
Asked at a U.S. House Financial Services Committee hearing with prudential regulators if he will fulfill his term even if asked to leave by the upcoming Trump administration, Barr responded: "I intend to serve my fixed term of office." Barr took office as the Vice Chair for Supervision on July 19, 2022 for a four-year term.
Asked whether President Trump's proposals are likely to have an inflationary outcome, Barr said: "I think we've made enormous progress on our dual mandate. Inflation has come down dramatically from its highs two years ago, the unemployment rate remains at historically low levels. We've seen significant growth in the economy and a real significant boost in productivity, which are all positive for the American people." (See: MNI INTERVIEW: Fed Cuts To Continue But Neutral Not Far-Tracy)
"In an economy as big and diverse and broad and dynamic as ours, it's very hard to say what any particular policy input will be without knowing more about it. It's early for us in that kind of assessment. As we learn more about what the policies of the new administration might be those will begin to be introduced into scenarios and forecasts and other measures of the economy," Barr added.