Practitioner at the Helm of the Fed: What Are the Implications?

Based on the structure of the Federal Reserve System, the Fed's decision-making power is heavily concentrated within the Fed's Board of Governors entity. More importantly the chair of the Board of Governors is automatically the chair of the Federal Open Market Committee (FOMC). Thus, given the mandate of the Fed, the Fed chair is likely the most powerful public administration official nominated by the president of the US and confirmed by the US Senate. The Fed has been given the keys to manage the economic environment in the US (and indirectly globally), and to drive independently from the from any interferences. This article looks into the appointment of Jerome Powell as the 16th chair of the Federal Reserve since February 5, 2018.