Federal Reserve chair Jerome Powell tells Princeton and Harvard students to protect democracy

Federal Reserve chair Jerome Powell warned students at Princeton on Sunday to take responsibility for defending US democracy, just days after President Donald Trump’s administration blocked Harvard University from enrolling international students and started pressuring colleges over protests.

Speaking directly to the class of 2025 during their graduation, Powell said, “When you look back in 50 years, you will want to know that you have done whatever it takes to preserve and strengthen our democracy.” 

According to information from the Financial Times, the Fed chair used the platform to link current attacks on higher education to broader political tensions gripping the country.

Powell praised universities as “a crucial national asset” and said, “We lead the world in so many ways, including in scientific innovation and economic dynamism.” His comments came at a time when Ivy League schools like Harvard and Princeton are under political fire. 

Trump’s Department of Homeland Security recently barred Harvard from taking new international students, throwing the futures of over 6,500 people into uncertainty. A US district judge temporarily blocked the move on Friday, but the administration hasn’t backed off. Student visas are still being revoked, and colleges are being forced to hand over records of who’s been involved in protests.

Trump targets Ivy League as Powell urges students to act

The administration has accused schools of left-wing indoctrination and failing to address antisemitism, marking a clear change in policy direction toward elite institutions. With billions in federal funding already cut from American higher education, some top scholars are now being offered academic roles overseas.

France and other European countries are extending invitations to US-based researchers who are losing faith in the domestic academic environment.

Powell told the graduates to stay sharp and act deliberately. “Take none of this for granted,” he said. He urged students to protect their integrity, consider public service, and be ready to take risks. 

“Fifty years from now, you will want to be able to look in the mirror and know that you did what you thought was right, in every part of your life,” he added. “At the end of the day, your integrity is all you have.”

That same integrity has been tested during Powell’s own time at the Fed. Though Trump appointed him during his first term, the president has since gone after him publicly, calling him “Mr Too Late” and “a major loser” because the Fed hasn’t dropped interest rates. 

The central bank has kept rates steady between 4.25% and 4.5% this year, with Powell and his colleagues saying they won’t move until they’re sure Trump’s global trade actions won’t bring more inflation.

Supreme Court backs Fed as Trump’s team considers removal

Last month, Kevin Hassett, who heads Trump’s National Economic Council, said the White House was still reviewing whether it could fire Powell before his term ends in May. Trump later claimed he had “no intention” of firing him, but the possibility remained hanging over the Fed. 

Powell, on the other hand, has made it clear he plans to finish his term. He also said that being removed just for having a different view on interest rates would be illegal.

A ruling from the US Supreme Court this week supported that stance. The Court’s opinion signaled that the president doesn’t have the right to interfere with the Fed’s independence or remove members of the Federal Open Market Committee over policy differences. That decision further locked in Powell’s authority to lead without political interference.

The broader political context for Powell’s speech wasn’t subtle. With the Trump administration aggressively targeting elite academic institutions, calling out student activism, cutting off federal money, and driving top scholars abroad, the message was urgent. 

The combination of domestic pressure and political volatility has left universities and the Fed defending their roles in a country now defined by conflict over power, loyalty, and control.

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