Trump’s Supreme Court Shenanigans: Is Powell’s Chair on the Chopping Block? đŸ˜±

by

In a twist worthy of a political thriller, President Donald Trump has, with all the subtlety of a sledgehammer, petitioned the Supreme Court to greenlight the dismissal of senior officials from two federal agencies that, until now, have enjoyed a cozy autonomy. This audacious gambit could pave the way for Trump to unceremoniously boot Federal Reserve Chair Jerome Powell, thus challenging the sacred norms that have long shielded the central bank from the whims of executive meddling.

In a move that could make Machiavelli blush, the Trump administration has lodged an urgent appeal with the Supreme Court, seeking the power to terminate employees at two designated federal agencies. This legal maneuver aims to dismantle the venerable 1935 precedent set in Humphrey’s Executor v. United States, which, like a protective mother hen, affirmed Congress’s authority to shield select senior officials from the arbitrary whims of presidential dismissal.

This decades-old judicial edict has preserved a measure of operational autonomy for such agencies, shielding them from overt executive influence. Trump’s legal team, in a display of constitutional gymnastics, argues that these limitations on dismissal powers contravene Article II of the Constitution, which, they claim, vests executive prerogatives in the presidency. They maintain that agencies wielding substantial administrative clout must operate under the watchful eye of the president—because who wouldn’t want a little more chaos in their lives?

Bloomberg, ever the harbinger of doom, observes that this case could “ultimately test whether Trump has the power to fire Federal Reserve Chair Jerome Powell.” Existing doctrine fortifies leaders of independent entities—including the Fed—against removal absent substantive justification. However, Powell’s role enjoys additional bulwarks under the Federal Reserve Act, which mandates “good cause” for termination. Good luck finding that in the current climate! 😂

Scrapping Humphrey’s Executor might destabilize these safeguards, expanding presidential dominion over institutions like the Fed and imperiling their impartiality. This audacious gambit coincides with legislative efforts to dissolve the central bank entirely, aligning with Project 2025’s grand vision to overhaul the U.S. monetary framework, eradicating its “monetary dysfunction.” Chapter 25, which dissects the Fed’s history, claims economic contractions have recurred quinquennially since its inception. Talk about a bad habit!

This development unfolds as Trump intensifies pressure on Powell to dramatically reduce the federal funds rate. Before suspending select tariffs Wednesday, Trump lambasted Powell’s purported sluggishness, demanding immediate rate cuts and a depoliticized decision-making process. Though the Fed convened privately days before Trump’s tariff pause, it remains steadfast on maintaining its policy rate, signaling no imminent retreat. The plot thickens! 🍿

Read More

2025-04-10 16:58