This Week in ESG and Impact Investing

Trump’s latest demand—that Federal Reserve Governor Lisa Cook resign—is more than political theater. It’s a strategic assault on the Fed’s independence and a troubling effort to expunge Black leadership from America’s most consequential economic institutions. Cook, the first Black woman appointed to the Fed’s Board of Governors, faces unsubstantiated mortgage-fraud allegations that come abruptly from Bill Pulte, director of the Federal Housing Finance Agency and a known Trump affiliate. President Trump swiftly echoed these accusations via social media, demanding that she “resign, now!!!” No credible investigation or due process has confirmed wrongdoing—underscoring the politically expedient character of the charges. This incident is not isolated. Trump’s persistent efforts to pressure Chair Powell—mocking him publicly, criticizing Fed building renovations, and nominating rate-cut friendly governors like Stephen Miran—reveal a partisan campaign to reshape the Federal Reserve into an ins...

On February 10, 2023 the Joint Center for Political and Economic Studies hosted Dr. Lisa Cook as part of its Voice at the Table Series. It is worth noting that Dr Lisa Cook is the first black woman to be confirmed as Federal Reserve Board Governor in its 108-year history.  During the exchange, Dr Cook explained the role of the Federal Reserve in achieving its dual mandate of ensuring maximum employment and price stability. When asked about how monetary policy affects different demographics, she noted that inflation tends to disproportionately affect low income earners and that average unemployment tends to be higher among African-Americans. While monetary policy can be informed by this finding, it is a high level tool that targets the economy as a whole.  Her perspective on the economic outlook as we settle into 2023 is one characterized by sluggish growth. The key risks that could affect this outlook are the ongoing war in Ukraine as well as the implications of China's reopen...