adam posen with us.lking to bill gross on tax reform and the jobs day. from new york and london, this is bloomberg. ♪ tom: thanks to our team fortress recovered yesterday of the afternoon festivities in the rose garden. nejra cehic is with us in london. tom porcelli is with us and adam posen who was all over the media waxing philosophical about the future fed. what are your thoughts on chairman powell? can you make this work? >> i think he can. overnight, what occurs to me is that the individuals matter less than what people think. the key is that governor probable, janet yellen -- powell, like janet yellen is coming from the mainstream which served as well. thing thatout of were not raising rates prematurely has led to good results, the growth we have now. it has helped fight the two americas you mentioned before the break. the important thing president trump chose come he did not given to some of the people in congress and ideologues and appoint somebody who would dogmatically be out of the mainstream

member,lson, a former and president of the peterson institute, joins us -- adam posen.u were still a policy maker the bank of england, would you have voted for that hike? >> no, i would not. but unlike when i was debating things in the npc in 2010 and 2011, i can understand why colleagues would have voted for it. brexit changed the game. the inflation anchoring of expectations has been reduced, so people are worried about the upside risk. i would have risked it and not voted for a hike, but i think it is quite reasonable that the majority of the npc, thinking --ut brexit and the looser of inflation were willing to hike. positionvernor carney himself -- well, he didn't get stuck between a rock and a hard place, essentially. and he backed himself into a corner by today's meeting? the probabilities were high the bank would go ahead -- what is to leady for carney that narrative in the month or so leading up to today's meeting? adam: i think it is less about the narrative of the last month andmore about what he said didn't say. it is more about the fact that -- in the 70's,

adam: --we now have the posen, president of pearson institute for economics.hat would be the biggest challenge for him as a chair? one is to decide when you have raised enough on the inflation front. jay powell has been very clear. -- inflation disappointment we don't need to be preemptive. a call inoing to be the committee on the risk. side,nancial regulatory he will have to decide how much --ervisory discretion needed is needed to reverse some of the things that the fomc dead. >> given the president's pension for reversing or overturning what ever his predecessor did, what do you think might be executed when it comes to reform? >> that is something to be concerned about. there is much more room for chairman powell to change things on the regulatory side than the monetary side. comparability on the monetary side, but on the regulatory side, there could be , howess test for the banks much they worry about asset , the contribution to liquidity standards. there is a whole range of issues where i assume the trump administration's views use of less regulation and