Adam Posen Sees Trump as an 'Accidental Keynesian'

The transcript discusses the independence of Janet Yellen's Federal Reserve and the potential impact of interest rate hikes. It analyzes President Trump's economic policies, particularly his approach to tax cuts and spending, and the divided opinions within the Republican Party. The discussion also covers economic priorities in Washington, such as the ACA and corporate tax cuts, and suggests that the President should listen to experienced civil servants for economic advice. Finally, it offers recommendations for tax reform, emphasizing investment and a neutral value-added tax to avoid harming poor people.

What is a potential consequence of Janet Yellen's Fed raising interest rates?

• Increased support from all political parties

• Immediate economic growth

• No reaction from the public

• Upset reactions and social media backlash

What is one of the main economic issues in Washington according to the transcript?

• Healthcare reform

• Corporate tax cuts

• Environmental policies

• Education funding

Who does the speaker suggest the president should listen to for economic advice?

• Senior civil servants and technocrats

• International economists

• Business leaders

• Only his political advisors

What is a suggested approach to tax reform mentioned in the transcript?

• Implementing a border adjustment tax

• Changing all tax rates at once

• Increasing investment and expensing

• Eliminating all taxes

What is a potential downside of the current tax proposal discussed?

• It reduces government revenue

• It is not a real value-added tax

• It benefits poor people

• It is neutral across sectors