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Conservatives praise Fed Chair Warsh for rejecting Phillips Curve but face questions on their inflation views.

Market News
21 Jun 2026
Forbes
View Source
Neutral
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Newly appointed Federal Reserve Chair Kevin Warsh is being praised by conservatives for rejecting the Phillips Curve theory that economic growth causes inflation. However, the article argues this praise is condescending since understanding inflation basics should be expected of a Fed Chair, especially given conservatives previously supported Ben Bernanke, who believed in the Phillips Curve. The piece challenges conservatives to clarify their definition of inflation, noting contradictions in their claims during the Biden years when inflation was high but the dollar remained strong and gold prices stable. It suggests conservatives should question Warsh on his precise inflation views, particularly regarding the dollar's value, as this is crucial for understanding inflation policy going forward.

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