I have a legitimate question this evening. Why doesn’t public enemy #1 want to lower interest rates?

Your misstep is thinking Trump is public enemy #1.
You need to go much deeper. The Rothchild's would be a better start.
Abolishing the Federal Reserve would be great, but go back to point 1 I made.

When the great recession came, in 2008, the interest rate was lowered which helped the economy but added to a national deficit. When congress passed the tax but the country's deficit increased to over a $ trillion, if we lower the rate and then enter another recession, which some people believe is inevitable, then the government will not be able to lower the rate to try to get us out of that recession.

There's always swings and roundabouts... Low interest is good if you're a borrower... But with low interest, external companies and countries don't give you the money to invest

That’s a lot of questions. To your first question, his companies will save millions on loan payments.

1% is great for a borrower,
But investment income @1% is really really sad for the economy!

The president doesnt control the Fed, he cannot lower the interest rate.

The US Federal Government and the Federal Reserve Bank have a major conflict of interest: 100% of the profits which the Federal Reserve Bank makes above its operating expenses are by law, paid to the US Treasury. So it is in the Government's interest for the Federal Reserve to set its Federal Funds Interest Rate which it charges to lend to banks as high as the Federal Reserve will set it, from that viewpoint.

I think the provision in the law that directs Federal Reserve profits to be paid to the US Treasury is the single biggest flaw in the Federal Reserve Act. The profits should instead be destroyed, taking those dollars completely out of circulation. That would enable the Federal Reserve to more easily control inflation with smaller increases in the Federal Funds Rate than it currently has to use.

Under the current law, those dollars are simply transferred from the private sector to the government (public) sector of the economy, which doesn't remove them from circulation, so the only way higher interest rates reduce inflation is when the interest rates get high enough to disrupt the business models of enough businesses to cause the private sector of the US economy to contract.

All of the Federal Reserve Board members are intelligent enough to know all of this--but none of them have the balls to say it publicly.

Because as the biggest cry-baby the world has ever seen, known, or been subjected to, explained before he became president... "It's not fair. It gave Obama an unfair advantage." PLUS... if the economy is doing fantastic in one half of the sentence, why does it need low to zero interest rates that comparison economies are using for economies that are not doing fantastic?

Interest rates can in fact go into the negative. But it sounds and looks silly. I am sure Donald doesnt have a clue, since he never pays back loans anyway. But in reality the US economy has been on life support for a decade now. Which makes more sense now you have the brain dead running the show and the ghouls with the money looking to suck the corpse dry. This is such a tragedy.

The interest rates were really low for many years. Lowering them now is not going to have a big impact, it might delay the recession just after the election but that's it. The recession will happen regardless, they always do, that's why they're called business cycles. Having a 1% rate might cause people or corporations to take loans, but that won't fix the economy in itself. He's just trying to avoid looking weak before the election. Plus having low-interest rates is bad for savings accounts, and long term low-interest rates weaken the power of lowering interest rates.

Because it provides only a short term boost to the economy and if you lower rates now then you will have less leeway to lower them in the future if the economy slides into serious recession. It’s the fiduciary responsibility of the fed chair to act in the long-term interest of the economy and not simply goose the short term numbers to give a sitting president a better chance of being re-elected.

Also, Trump most definitively does NOT know what is best for the economy, and if he did he would only do it if it benefitted him personally. Stop assuming that money and power are always earned through competence.

Mayer Amschel Rothschild is: Permit me to issue and control the money of a nation, and I care not who makes its laws!

Interest rates are part of monetary policy set by a nation's central bank. It's used to control inflation and provide liquidity as needed. At present, the Federal Reserve Bank Chairman and its Board of Governors believe that adequate liquidity is being provided by the current Federal Funds rate (the interest rate banks charge other banks) and inflation can best be kept in check at the current rate. Being that the economy is currently doing well, there is no need for Jerome Powell to lower the Federal Funds rate. The Fed must always strike a balance between providing liquidity and hedging against purchasing power degradation.

IDK....dropping it is admitting that the economy is weak and needs more spending and stimulus

The Fed controls the interest rates. It depends on what you want. In general, when interest rates are low, the economy grows and inflation increases. Conversely, when interest rates are high, the economy slows and inflation decreases.

it's complicated Tracie.. Trump ain't right and trump ain't wrong..the recession coming is inevitable.. Trump just wants it to be after he is elected for a second term lowering interest can prolong the inevitable. but a crash is coming. nothing could be more certain.

@sarabee1995 Okay. I wasn’t aware that they print it.

Public enemy #1 would like to retain its major lever for when there is a recession - or there will be nothing at all they can do about it.

First don't ever trust Donald Trump on anything money related. He is an idiot, and before anyone counters with "he's a successful businessman", successful people don't file for bankruptcy 6 times. Second, is our economy weak enough that the stimulus he's proposing is needed? 🤷🏻‍♂️ To hear him talk our economy is doing well so why do something unnecessary like this?

You are young, collect a little more debt, yes a low interest rate is healthy. The only ones who benefit from a high interest rate is banks, really - but the caveat of that, low interest means the loanee has to be responsible with the affordable credit they've been given.

Because the Left would prefer a recession and economic upheaval to a Trump re-election and the Fed is clearly in the Left camp.

@SimplyTracie 🙄🤪

If you take 2 fish 🐡🐟 ...

I'm not good with economics, but I see Trump so it's probably another trump steak.

All is resolved, relax folks. Woke up this morning and it appears that Trump is now the Chosen One

It's a very sensitive balancing game

I doubt even he knows

The stable genius wants it at 0

Interest sucks booty

He is having a mental breakdown he needs taking away in strait jacket and throwing in nuthouse preferably without soap and toothpaste