By Cliff Potts, CSO, and Editor-in-Chief of WPS News
January 13, 2026 — New York, New York
An Old Authoritarian Trick in a Modern Economy
This is what fascism looks like in an advanced economy.
Wherever possible, the American Fascist Party seeks prosecution for political gain rather than justice. Courts become weapons. Investigations become leverage. Truth becomes optional—so long as power is preserved.
The campaign against Jerome Powell, chairman of the Federal Reserve, follows this script with disturbing clarity.
Powell’s real offense is not a renovation project or disputed testimony details. His offense is independence.
Why the Federal Reserve Is in the Crosshairs
The Federal Reserve exists to make unpopular decisions when necessary. Raising or holding interest rates is rarely politically convenient, but it is sometimes economically essential. Powell has resisted repeated pressure to cut rates purely for short-term political benefit.
That resistance matters. It is the firewall between evidence-based monetary policy and raw political impulse.
For Donald Trump, that firewall is intolerable.
Criminalization as Political Pressure
When elections, persuasion, or policy arguments fail, authoritarians turn to prosecution.
Threats of investigation or indictment serve two purposes:
- They punish noncompliance.
- They send a message to everyone else still standing.
The message is simple: Obey, or you’re next.
MAGA supporters amplify the narrative reflexively. Facts are irrelevant; repetition does the work. The accusation itself becomes proof. This is not a legal process—it is a loyalty test.
The Economic Damage Is the Point
Undermining the Federal Reserve is not collateral damage. It is strategic.
The Fed’s credibility is a structural pillar of the U.S. economy. When markets believe monetary policy is politically coerced, consequences follow quickly:
- Investor confidence erodes
- Long-term borrowing costs rise
- Inflation expectations become unstable
- The dollar weakens
- Global trust in U.S. institutions fractures
Once credibility is lost, it is extraordinarily difficult to rebuild. That damage does not hurt political elites first—it hits workers, retirees, and fixed-income households.
If chaos follows, authoritarians benefit. Economic pain becomes someone else’s fault. Loyalty becomes currency. Control tightens.
This Is Not About Powell
This is not about one man or one job.
It is about whether independent institutions are allowed to exist at all. The Federal Reserve today. The courts tomorrow. Elections after that.
Democracies rarely fall all at once. They are pressured, prosecuted, and intimidated into submission—one institution at a time—until resistance becomes legally dangerous.
That is what is happening here.
Conclusion: Economic Arson Disguised as Accountability
Calling this “oversight” is a lie. Calling it “law enforcement” is worse.
It is economic arson disguised as accountability, cheered on by a movement that values domination over stability and loyalty over law. The goal is not prosperity. It is control—even if the price is a weakened United States.
History is clear on how this ends when unchecked.
The only real question left is whether Americans recognize the pattern in time.
References (APA)
Reuters. (2019, July 10). Trump renews attack on Fed’s Powell, says rates should be lower.
Reuters. (2020, March 19). Trump pressures Federal Reserve as coronavirus shocks economy.
Federal Reserve Board. (2024). The Federal Reserve System: Purposes & functions.
Levitsky, S., & Ziblatt, D. (2018). How democracies die. Crown Publishing Group.
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