Federal Reserve officials are weighing in on whether the central bank should lift interest rates for the first time since the financial crisis. But what does the leading Republican presidential candidate say?
Donald Trump told Bloomberg Television that the current low rates could fuel a bubble. “I’ve always loved low interest rates as a developer and I’ve always done well with low interest rates,” he said. But as a Republican presidential candidate, he’s not as sure. “I think you’re creating a bubble and the bubble could explode,” he said. He talked favorably of former Fed chief Paul Volcker, and even in a roundabout way endorsed the Volcker rule, which separates commercial and investment banking.
Trump is one of 10 Republican candidates who made the cut to participate in Thursday’s Fox News debate. A Republican consultant writes in The Wall Street Journal that Trump’s standing in the polls may tempt Vice President Joe Biden to run on the Democratic side. The logic? That Trump will offend so many moderates that a Republican couldn’t possibly win.