Reports from the Wall Street Journal and Bloomberg indicate that President Trump has held multiple phone conversations with Federal Reserve Chairman Kevin Warsh amid sensitive market conditions and internal FOMC disagreement over rates.

Accounts differ in emphasis—one framing the contacts mainly as economic consultations, the other as unusually assertive White House engagement—while both note that direct pressure on specific monetary-policy decisions remains unconfirmed.

The article uses the episode to argue that true institutional independence is limited because agencies are financed by the state and ultimately subject to political authority, treating central-bank autonomy as constrained rather than absolute.

A basic principle of the natural market, of the social nature, of nature at the end of the day is that people are committed to those who finance them. Or put the other way around, no one would finance another if it were not in exchange for something. 

Otherwise, the market – the companies – could not exist, for example, if employees did not answer to their bosses or suppliers did not deliver the merchandise to those who paid for it. As I say, it is natural, spontaneous law of the cosmos, ergo, it cannot be altered and whoever tries to do so will simply be going against the natural order and, therefore, will fail. It would be like trying to go against the law of gravity. 

By the way, that central banks “finance themselves” as it is often argued is a fallacy, it is like an employee that withdraws his salary from the commissions that he himself get to the company, in which case, clearly, he is not self-financing since those commissions are the result of the activity within the company. The revenues of central banks are possible thanks to the fact that the State grants them a monetary monopoly, ergo, the real owner of those revenues is the State that allows them to be accounted........

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