President Joe Biden Left-Wing Democrats Seek A New Fed Chairman.

Lawmakers accused the central bank chief from not doing enough about climate change or economic injustice. Republican Powell was appointed Fed chair by Donald Trump in 2017, but his term ended in February.

In a statement, Ms. Ocasio-Cortez, Rashida Tlaib, Ayanna Pressley, Mondaine Jones, and Jesús "Chuy" García said: "We ask President Biden to reconsider the Federal Reserve, which focuses on eliminating climate risks and promoting race – and a focused justice economy.

"To advance a full-fledged government approach that eliminates climate risk while making our financial system safer. Donald Trump has strongly criticized Powell, a former investment banker, after taking over at the Fed in 2018.

He was also offended when Powell warned of the economic risks of a trade war with China after the Trump administration imposed a series of trade tariffs on other countries. Recently, however, economists have praised the head of the Federal Reserve for providing swift support to the US economy during the pandemic, which they believe kept the US from falling into depression.

In a statement, Ms. Ocasio-Cortez and his colleagues praised Mr. Powell for getting the Federal Reserve to do more to achieve full employment – ​​the point at which anyone who needs a job has one. However, under his leadership, they said the Fed "has taken minimal action to reduce the climate change risks" that define the US financial system.

In terms of their approach to the crisis, lawmakers said that the Federal Reserve is below the G20 central bank rating created by Britain's positive money campaign. Powell previously warned that the climate crisis poses "profound challenges for the global economy and financial system."

Ocasio-Cortez and his colleagues emphasized that the Federal Reserve Mr. Powell has "severely weakened" many of the reforms that have been implemented for significant banks since the 2008 financial crisis. These include capital and liquidity requirements, stress tests, and the Walker Rule, limiting how much money their daily clients can invest in risky trading activities.

"Weakening financial regulations specifically designed to prevent such a catastrophe from happening again jeopardizes the existence of Americans across the country," the legislature said.

Ocasio-Cortez is part of a wave of progressive politicians elected to Congress in recent years and who have pushed Democrats politically to the left. They continue to suppress the party's moderate wing, including the president, which influences its infrastructure, education, and social policies.