President Donald Trump's pick for the Federal Reserve’s board of governors was grilled during a confirmation hearing before the Senate Banking Committee, where he worked to convince lawmakers he deserves the votes to join the seven-member board ahead of its rate-setting meeting on Sept. 16 and 17.

The appointment of Stephen Miran, chairman of the White House Council of Economic Advisers, would be a significant step in Trump’s efforts to reshape the Fed amid his monthslong campaign for lower interest rates.

While Democrats questioned whether Miran would allow Trump's demands for lower interest rates influence his decisions, Miran maintained that he was committed to preserving the Fed's independence.

"My opinions and decisions will be based on my analysis of the macroeconomy and what's best for its long-term stewardship," Miran said in prepared remarks.

Who is Stephen Miran?

Trump’s recent moves to oust members of the Fed have raised concerns that the central bank could lose its independence from politics.

Miran – who supports Trump’s push for rate cuts – told members of the Senate Banking Committee the Fed's independence is "of paramount importance for the economy, for financial markets, for the long-run stewardship of the country."

"The president nominated me because I have policy views that I suppose that he liked," Miran said. "If I'm confirmed to his role, I will act independently, as the Federal Reserve always does, based on my own personal analysis of economic data, my own personal analysis of the effects of economic policies upon the economy, and act based on my judgment of the best economic policy possible."

Previously, Miran proposed a series of reforms within the Fed to strengthen presidential oversight of the Fed and the dozen regional Reserve Banks, arguing current governance has "facilitated groupthink that has led to significant monetary-policy errors."

A 2024 essay co-authored by Miran for the Manhattan Institute, a conservative-leaning think tank, argued for shorter terms for governors; clarifying that members serve "at the will of the U.S. president"; having state governors choose the presidents of regional Reserve Banks; and banning the "revolving door" between the executive brand and the Fed, despite Miran himself looking to make a jump from an advisory role at the White House.

Miran faces questions on Fed independence

During the Sept. 4 meeting, Sen. Elizabeth Warren, D-Mass.,argued that Miran’s appointment would risk the Fed’s independence.

"Even if the Republicans on this committee force through this confirmation, Dr. Miran's tenure will be tainted," Warren said. "No one – not the American public, not investors here at home, not the worldwide financial markets – will trust him as an independent voice. Every claim he makes and every vote he takes will be tainted with the suspicion that he isn’t an honest broker but instead is Donald Trump’s puppet."

Warren pressured Miran to voice statements that contradict unsubstantiated claims made by Trump, asking Miran if Trump lost the 2020 election or if he agrees with Trump's claim that Erika McEntarfer, former U.S. commissioner of Labor Statistics, "faked" jobs numbers to boost Kamala Harris' presidential campaign. Trump fired McEntarfer in August.

Miran did not give a firm yes or no answer, but told Warren that Congress certified Joe Biden as president and argued Bureau of Labor Statistics data quality has deteriorated. He later denied accusations that he was Trump’s "puppet," telling lawmakers that he is "very independently minded."

Trump nominated Miran to fill the empty seat left by Governor Adriana Kugler, whose term is set to end in January.

Miran said he would take an unpaid leave of absence from his advisory role at the White House to serve the remainder of Kugler's term with the Fed board. If asked to fill a longer term, Miran said he would resign from the White House Council of Economic Advisers.

Who would Miran replace?

If Miran's appointment is approved, he would fill the empty seat left by Kugler, who unexpectedly stepped down in early August.

Trump is also working to fire Governor Lisa Cook, potentially opening up another slot on the board. Trump has mulled having Miran step in to finish Cook's term, which is set to end in 2038. Cook has filed a federal lawsuit to fight Trump's move to fire her from the Fed.

"We might switch him to the other – it's a longer term – and pick somebody else," Trump said on Aug. 26, adding that he was working to have his appointees make up a majority of the Fed’s board "very shortly."

Miran told reporters on Sept. 4 he has not talked about a possible nomination for a longer-term Fed post with anyone at the White House, according to Reuters.

This article originally appeared on USA TODAY: Trump’s Fed nominee grilled on central bank independence during confirmation hearing

Reporting by Bailey Schulz, USA TODAY / USA TODAY

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