4/8/2025–|Last update: 21:58 (Mecca time)
In a disturbing shift described by Bloomberg as a “new front in politicizing the American economy”, US President Donald Trump, head of the Labor Statistics Office, sacked last Friday, just hours after a report showed a sudden slowdown in the frequency of employment.
Trump, who did not provide any evidence, claimed that “job numbers were fake to make Republicans, and I personally look bad.”
On the same day, the Federal Reserve Governor Adriana Kogarpar announced her resignation, giving Trump an opportunity to appoint an alternative that supports his continuous campaign to pressure to reduce interest rates.
According to Bloomberg, Trump said at the end of the week that he will soon announce the name of the new federal ruler, as well as the head of the new statistics office.
Fears of the erosion of the credibility of data and institutions
“I have been discussed The risk of politicizing the federal reserve Very much during the past months, but the risk of politicizing the process of collecting the same data should not be overlooked.
He added in a remarkable analogy: “If we use the similarity of the smooth decline in the economy, the possession of a damaged meter plate may be dangerous as dangerous to the presence of an obedient party pilot.”
According to Bloomberg, these concerns are not limited to America, but also extend to countries such as the United Kingdom, Australia and Canada, where statistics offices suffer from a significant decline in the rates of response to work polls due to random post and fraud.
In Britain, the collapse of confidence led to the suspension of unemployment data and the resignation of national statistical Ian Diamond last May.
“New eyes” on data
Kevin Haysit, Trump’s chief economist and head of the National Economic Council, justified the dismissal by saying that repeated amendments to job data “have not been well interpreted”, which calls for a “new set of eyes”.
When he was asked if Trump would say any official who displays data he does not like, he said, “definitely no. The president wants his people in these sites until the numbers are more transparent and credible.”
Bloomberg’s economic analyst Tom Orlek warned that the dismissal may not immediately affect data collection mechanisms, but will have a profound impact.
Investors feared that the statistical fog will be added to the chaos resulting from the customs policies of Trump, making inflation and the labor market more difficult.
“It is difficult to be dependent on data in monetary policy decisions, if you cannot trust the data at all,” Orke concludes by saying.
Powers of Powell … and institutions in the range of fire
Federal Reserve Chairman Jerome Powell has always been subjected to Trump’s criticism, and with the resignation of Cogar, Trump seems to be seeking to reserve the reserve council in line with his vision, by appointing less independent and more independent personalities to support the reduction of interest, according to the agency.
According to Bloomberg, these trends are greatly concerned in the economic circles, which sees the independence of statistical and monetary institutions as a cornerstone of market stability and investor confidence.
And the Bloomberg report reported that the statistics crisis in statistics is not unique to America. In the United Kingdom, anger in unemployment numbers led to a political crisis, which prompted the national statistics Ian Diamond to submit his resignation. It is expected that the importance of this crisis will increase with the expansion of data role in directing economic policies around the world.
Bloomberg says that the last step of Trump does not only mean a change in people, but in the rules of the entire game. Transforming independent institutions, such as the Statistics or Federal Reserve Office, to party tools, may destabilize the markets of the markets in the “strong dollar”, and undermine America’s position as a center of economic transparency.
