He suggested he would prefer more spontaneous and less choreographed Federal Reserve meetings.
He also hinted at major changes to how the Fed measures inflation, potentially moving away from the Personal Consumption Expenditures index currently used by policymakers.
Exactly what alternative system he would adopt remains unclear, but the comments signaled that a Warsh-led Federal Reserve could dramatically reshape America’s economic strategy.
By the end of the hearing, it was clear that Warsh’s confirmation battle is no longer simply about economic policy.
It has become a broader political fight over the independence of the Federal Reserve, Donald Trump’s influence over America’s financial institutions, and the future direction of the US economy itself.
