Biden sticks with Powell as Fed Chair amid rising inflation

Biden Sticks With Powell As Fed Chair Amid Rising Inflation | US Politics In :60 | GZERO Media

Jon Lieber, head of Eurasia Group's coverage of political and policy developments in Washington, shares insights on US politics:

Why did President Biden renominate Jay Powell to be the chairman of the Fed, and who's his No.2, Lael Brainard?

Well, Powell by all accounts has done a pretty good job of managing the Fed through the coronavirus pandemic. He dusted off the playbook, first pioneered by Chairman Bernanke during the financial crisis, and he's largely continued the relatively easy monetary policy of his predecessor at the Fed, now Treasury Secretary, Janet Yellen. With inflation growing the way it has over the last several months, Biden now owns the policies of the Fed and is essentially endorsing what Powell has been doing and giving Powell the political cover to continue to keep rates low for longer, or as many people expect, raise them slightly over the next 12 months in order to fight inflation.


Who is Lael Brainard? Well, she's a longstanding member of the Board of Governors. She was thought to be the favorite to replace Powell if President Biden decided to replace him, but instead Biden gave her a promotion to vice chair. The vice chair has sort of an amorphous role. The last Vice Chair, Rich Clarida, who leaves this post in February, had a significant role in rethinking how the Fed approaches periods when inflation runs a little bit hotter than they want it to, which means that structurally we're going to have more loose monetary policy for a longer period of time. Biden also has three other seats to fill on the board, including the vice chair over supervision, who if Biden follows in the footsteps of other financial regulators they've appointed, is likely to appoint somebody who's going to be tougher on banks, more skeptical of cryptocurrency and tough on things like fintech and payments. But those guys might face a hard time getting confirmed, unlike Powell and Brainard, who are likely to cruise to an easy confirmation sometime in the next couple of months.

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Does the EU really have a foreign policy?

For decades, European leaders have debated the question of whether Europe should have a common foreign policy that’s independent of the United States.

Germany, the UK, and countries situated closest to Russia have traditionally preferred to rely on membership in NATO and US military strength to safeguard European security at a cost affordable for them.

French leaders, by contrast, have argued that, with or without NATO, Europe needs an approach to foreign-policy questions that doesn’t depend on alignment, or even agreement, with Washington.

There are those within many EU countries who agree that Europe must speak with a single clear voice if the EU is to promote European values and protect European interests in a world of US, Chinese, and Russian power.

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The politics of US crime: Perception vs reality

A recent spate of violent crimes in New York City has made national headlines. Since Eric Adams was sworn in four weeks ago as mayor of America’s most populous city, violence on the streets — and the subways — has again become a major political focus. Things got even more heated this week, when two young cops were killed while responding to a domestic dispute in Harlem.

Crime is not only a dominant political issue in New York. It also resonates more broadly with American voters worried over increased lawlessness and unrest. Indeed, crime is already shaping up to be a wedge issue as Republicans vie to win control of the US Congress this November.

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Hard Numbers: South China Sea jet search, US economy surges, Cuban protesters charged, Africa gets vaxxed

FILE PHOTO of a F-35C Lightning II, assigned to the Argonauts of Strike Fighter Squadron (VFA) 147, launches off the flight deck of Nimitz-class aircraft carrier USS Carl Vinson (CVN-70) on Jan. 14, 2022.

U.S Navy/EYEPRESS

100 million: The US Navy is scrambling to find a $100 million F-35 stealth fighter jet that crashed and sank soon after taking off on Monday from an aircraft carrier in the South China Sea. One expert described the Cold War-ish race to locate the remains — stocked with classified equipment — before the Chinese do as "basically The Hunt For Red October meets The Abyss."

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The logo of the Nord Stream 2 gas pipeline project is seen on a pipe at the Chelyabinsk pipe rolling plant in Chelyabinsk, Russia, February 26, 2020.

Nord Stream 2 used as a bargaining chip with Russia. The US now says that if Russia invades Ukraine, it’ll block the Nord Stream 2 pipeline, which is set to transfer even more natural gas from Russia to Germany under the Baltic Sea. This is a big deal, considering that Germany – thirsty for more Russian gas – has long been pushing for the pipeline to start operating despite ongoing objections from Washington. The $11 billion energy project, which would double Russian gas exports to Germany, is seen as (a big) part of the reason why Berlin is reluctant to push back hard against the Kremlin over its troop buildup at the Ukrainian border. Still, German officials admit Nord Stream 2 could face sanctions if the Russians invade, suggesting that the Americans’ threat was likely coordinated with Berlin in advance. This comes amid ongoing diplomatic attempts to de-escalate the Ukraine crisis, with US President Joe Biden and German Chancellor Olaf Scholz set to meet at the White House on February 7.

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Putin Has a “Noose” Around Ukraine, Says Russia Analyst Alina Polyakova | GZERO World

What’s going on in Vladimir Putin’s mind? That’s the million-dollar question.

Ukraine and Russia analyst Alina Polyakova doesn’t think it’s anything good.

Russia's president, she says, has put a “noose” around Ukraine with a troop build-up along the border that could spell invasion in the near term. The US has led an effort to deescalate the situation through diplomacy.

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The AI Addiction Cycle | GZERO World

Ever wonder why everything seems to be a major crisis these days? For former Google CEO Eric Schmidt, it's because artificial intelligence has determined that's the only way to get your attention.

What's more, it's driving an addiction cycle among humans that will lead to enormous depression and dissatisfaction.

"Oh my God there's another message. Oh my God, there's another crisis. Oh my God, there's another outrage. Oh my God. Oh my God. Oh my God. Oh my God," he says. "I don't think humans, at least in modern society where [we’ve] evolved to be in an 'Oh my God' situation all day."

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Merkin' It With Angela Merkel | PUPPET REGIME | GZERO Media

Angela Merkel is retired — but only from politics. Still, maybe she's not as good at other jobs as she was as German chancellor.

Watch more PUPPET REGIME!

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