If Trump wants to control the agency, he has much better options. He can work with Congress to scale back its powers. His administration can try to convince the federal courts, including the Supreme Court, that the Constitution forbids Congress from making the CFPB independent.
There is even an argument, not yet tested, that the president has the authority to direct the CFPB to consult with the White House before it issues expensive regulations. But discharging Cordray would be beyond the pale.
It is already clear that the Trump administration will ignite more than its share of controversies, and face numerous challenges in federal court. It would be a big mistake for it to choose, right out of the gate, to start a fight that it is overwhelmingly likely to lose.
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This article was provided by Bloomberg News.