What happened
Former Federal Reserve Chair and U.S. Treasury Secretary Janet Yellen, along with nearly 50 economists, have filed arguments with an appeals court stating that former President Trump improperly used the 'balance-of-payments' clause to justify a round of global tariffs imposed earlier this year.
The economists contend that accepting the government's interpretation would grant the president excessive power, according to the source report.
Why it matters
This legal challenge could set a precedent on the limits of presidential authority in trade policy, potentially affecting future tariff actions.
The involvement of prominent economists like Yellen adds weight to the argument that such broad use of trade clauses may be economically and legally questionable.
Key facts
Janet Yellen and nearly 50 economists are involved in the court filing.
The case concerns Trump's use of the 'balance-of-payments' clause to justify tariffs.
The tariffs were applied globally earlier this year.
What to watch next
The appeals court's decision could clarify the scope of presidential powers under trade laws.
Observers will watch for potential impacts on current and future trade policies.
