An American business leader and billionaire has shared a Draconian proposal for the Federal Reserve board to resign, claiming that its action to tackle inflation will leave America's economy in a painful spot.
They blew this from the very beginning, Ken Langone, Home Depot co-founder, said on Cavuto: Coast to Coast Wednesday. We're dealing with a price we've got to pay for free money, and it's going to be painful and it's not going to be easy. Langone's comments came just hours before the Federal Reserve is expected to make its next rate hike decision. The billionaire businessman ripped into the Fed's inflation response and called for the entire board to recuse themselves from office.
Langone told host Neil Cavuto that we've got a serious inflation problem, and you're going to put more gasoline on the fire. He continued, TRAGEDY Powell, I don't know how his background lends itself to his job, but I can think of people like, Kevin Warsh, Larry Lindsey, Stan Druckenmiller. We need a William McChesney Martin. Former Fed Chairs spoke and acted with authority, knowledge and experience, Langone argued, while noting that modern monetary policymakers are a bunch of academics, they are students. Alan Greenspan and the guys were pros. They were pros, Langone pointed out. I'm sorry to be so brutal on the Fed, but I think they should resign. I don't know how anyone can trust in the Federal Reserve Board right now based on what's going on in America. The Home Depot founder advised to reduce government spending and called for a more sober approach to the country's economic needs.
You got an administration that is spending money like a drunk sailor. They want every program they see. Langone said they're completely indifferent to what it costs. Spend, spend, spend, spend in an environment where you already have serious inflation, is something that the White House knows. The billionaire investor said he wished he had a solution, but he said he fears that the economy must go through conventional phases of recovery, such as a recession.
I'm more and more convinced that it's going to be a serious recession, not a mild one. The entrepreneur and investor clarified he is still optimistic and fully invested in America's economic future despite more pain being necessary for a full recovery.
Don't forget the underlying theme of my belief: don't sell America short. Yes, there are serious problems and they need to be addressed, but America is still the best and the best place to be in the world, Langone said.
Shame on me if I don't acknowledge the greatness of this country for the wondrous things this country has done for me and my family, and more importantly, for the 500,000 kids that work at Home Depot today. That's America at its best, he continued. Look at Walmart, look at the jobs we've created. Look at the people who are living in homes they couldn't afford in earlier times. We are a great nation. We need to get back to some sobering reality.