Federal Reserve Chair Kevin Warsh has initiated his tenure at the central bank by bringing in two prominent conservative economic policy researchers, Paul Winfree and Daniel Heil, as interim advisers. This move signals a potential shift in policy direction within the institution.

Winfree, notably the author of the chapter on the Federal Reserve in the influential "Project 2025" policy book, is expected to bring a perspective that aligns with and potentially extends Warsh's vision for reform at the Fed. Heil, a fellow at Stanford's Hoover Institution, shares a background with Warsh, who also held a position at the institution prior to his appointment as Fed Chair.

These appointments are significant as Warsh, who previously served as a Fed governor during the 2007-2008 financial crisis, has publicly advocated for what he termed "regime change" at the central bank. While his language has since softened, with Warsh emphasizing the creation of an environment for "the best people" to excel, his early hiring choices suggest a commitment to bringing in outside expertise that challenges the status quo.

Winfree's past work includes contributions to the Domestic Policy Council during the first Trump administration and founding the Economic Policy Innovation Center, a pro-Trump think tank. His "Project 2025" contributions explored potential reforms such as reconsidering the Fed's dual mandate, advocating for a primary focus on protecting the dollar and restraining inflation over maximizing employment.

Warsh's broader network includes notable figures such as former Secretary of State Condoleezza Rice and investor Stanley Druckenmiller. The Federal Reserve has declined to comment on the hires, which were initially reported by The Wall Street Journal.