09.15.2016

Shawn Sebastian, Field Director of the Fed Up Campaign released the following statement in response to Donald Trump’s speech on his economic plan and his comments on the Federal Reserve at the Economic Club of New York Thursday morning. 

“A real economic plan requires an understanding of the most important economic policymaker in the country, the Federal Reserve, and Donald Trump has shown he has a lot to learn about the Fed. Building an economy that works for everyone, with maximum employment and rising wages, is the Federal Reserve’s responsibility, not a matter of political gamesmanship, as Trump claims. Trump continued his uninformed attacks on the Federal Reserve, despite presenting an economic plan that would be even more impossible without the Fed’s accommodative monetary policy.

“While Congress shirked its responsibility to pass an adequate stimulus in the wake of the financial crisis, the Federal Reserve has been the institution most responsible for the progress we have made from the heights of 15% unemployment in 2009 to the 5% unemployment rate today. That means tens of millions of families can now pay their rent, feed their families, and buy school supplies who weren’t able to before. Trump’s criticisms of the Fed suggest that he would rather the survival of working families be imperiled just so he could sway the political balance in his favor.

“The fact that Trump characterizes the Fed’s low interest rates as politically driven instead of economically necessary is especially troubling given the fact that we still have so much further to go before the economic recovery reaches everyone. Black and Latino communities are still facing a crisis of underemployment and unemployment, the rate of people working part-time because they can’t find full time work is higher than before the recession, and wages have been stagnant for decades. Trump’s latest position that he’d rather Fed policy tighten so his own poll numbers rise means sacrificing jobs and higher wages. Trump’s latest position on monetary policy is not surprising from a candidate who has said he thinks ‘wages are too high.’ 

“Fed Up urges all candidates to use accurate data and informed policy analysis when commenting on the Federal Reserve’s role in the economy.”

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www.ThePeoplesFed.org
Fed Up is a coalition of community organizations and labor unions across the country, campaigning for the Federal Reserve to adopt pro-worker policies for the rest of us. The Fed can keep interest rates low, give the economy a fair chance to recover, and prioritize full employment and rising wages. 

www.populardemocracy.org
The Center for Popular Democracy promotes equity, opportunity, and a dynamic democracy in partnership with innovative base-building organizations, organizing networks and alliances, and progressive unions across the country. CPD builds the strength and capacity of democratic organizations to envision and advance a pro-worker, pro-immigrant, racial justice agenda.

Media Contact:  

Anita Jain, ajain@populardemocracy.org, 347-636-9761
Shawn Sebastian, ssebastian@populardemocracy.org, 515-451-8773