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How a Supreme Court Ruling Could Weaken Fed Independence, Shake Markets
"Humphrey's Executor" is a precedent that bars firing by the president of FTC NLRB etc officials. "Humphrey's Executor" precedent is being challenged by president DJT before the US Supreme Court and with it the independence of the Fed in 2025. Humphrey was an FTC official who was fired by FDR in the 1930's but died before his case went to the courts. It set the precedent that the president cannot simply fire officials he does not like. DJT challenged this by firing offfical at the National Labor Relations Board. When the US Supreme Court takes up this case it will look sceptically at this precedent, yet will find some way to protect the Fed's independence, says WSJ.
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