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What he is doing is counter to the Fed charter, but if you're pro-Capital, you like some unemployment because it disciplines Labor.

> The chair's main responsibility is to carry out the mandate of the Fed, which is to promote the goals of maximum employment, stable prices, and moderate long-term interest rates.

(per Investopedia https://www.investopedia.com/articles/investing/082415/what-...)



> The chair's main responsibility is to carry out the mandate of the Fed, which is to promote the goals of maximum employment, stable prices, and moderate long-term interest rates

You’re correctly quoting your source. But this is crap, as their source [1] makes no reference to “moderate long-term interest rates”.

The Fed is mandated to promote “maximum employment” and “stable prices” [2]. (It defines the former as “the highest level of employment or lowest level of unemployment that the economy can sustain while maintaining a stable inflation rate.”) If inflation is unstable, the economy is above maximum employment.

[1] https://www.federalreserve.gov/paymentsystems/coin_about.htm

[2] https://www.federalreserve.gov/aboutthefed/fedexplained/mone...


Isn't the idea that maximum employment, stable prices, and moderate long-term interest rates are somewhat in tension with each other though? Which would mean the mandate is to balance those three things – e.g. maximize employment to the extent possible while maintaining stable prices and moderate interest rates.




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