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Former Federal Reserve Chairman Janet Yellen said she did not think President Trump understands economic policy, with the US president remaining extremely critical of the central bank and its policies.
When asked at a radio interview whether she thought the president had an "understanding of macroeconomic policy," Yellen replied in the negative.
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"I doubt that he can even say that the goals of the Fed are maximum employment and price stability, goals assigned by Congress to the Fed," Yellen said during the interview with " Marketplace ".
The former Fed chairman added that some of the comments made by Trump – particularly about the Fed's exchange rate goal to support its trade policies – testify to a "lack of understanding of the Fed's impact on the economy ".
In addition, Yellen said his critics "concerned" him, as they could undermine confidence in the central bank.
Yellen, whose term ended about a year ago, has not been renamed by Trump. Jerome Powell succeeded him and is also in the line of fire of the president.
Trump recently criticized Powell and the central bank for its policy of standardizing interest rates, telling Reuters in December that Powell was "too aggressive" with rising interest rates. In November, he told The Washington Post that he was not happy with his selection of Powell and that the Fed was a bigger problem than China. In an interview with FOX Business in October, the president said his "biggest threat" was the Fed.
It was even learned that he was considering dismissing Powell.
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Powell met Trump at a dinner at the White House earlier this month. The latter would have particularly emphasized the importance of economic data for the establishment of a monetary policy.
The central bank raised the benchmark interest rate four times last year. Officials said they would maintain a "patient" approach to increases in 2019.
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