Kudlow Praises AOC for Questions to Fed Chair Powell
Written by Peter Boykin on July 11, 2019
National Economic Council Director Larry Kudlow Thursday praised Rep. Alexandria Ocasio-Cortez, D-NY, for her questions to Federal Reserve Chairman Jerome Powell, saying he would give her “high marks” and saying he’d like to meet with her to discuss economics.
“I’m a supply-side conservative and so forth,” Kudlow told Fox News’ “Fox and Friends.”
“I want to note in the hearings yesterday with Fed Chairman Jay Powell it was Ms. AOC who asked him about the Phillips Curve.”
The economic theory represents the relationship between inflation and the unemployment rate, finding that when unemployment is high, wages increase slowly, but when it’s low, wages go up rapidly.
During a hearing on Wednesday, Powell largely agreed with Ocasio-Cortez when she said economists are concerned that the curve is “no longer describing what is happening in today’s economy,” and Kudlow said he agrees.
“By the way, that is my position,” said Kudlow. “That has been the president’s position. Strong growth doesn’t cause higher inflation and interest rates. It looks like the Fed is going to have to cut their rates.”
And, he added, “nobody in life is all good or all bad…I’ve got to give hats off to Ms. AOC. She kind of nailed that. I’m hoping she and I can sit down to talk supply-side economics very soon.”
He further noted that there was a large jobs number that came out last Friday, and the nation is in a “powerful prosperity cycle because of pro-growth policies on taxes, regulation, trade reform, energy and so forth. There is no stopping it.”