Posted on 11/23/2015 3:26:23 AM PST by expat_panama
Monetary Policy: Congress is taking up a bill that would increase scrutiny of the Federal Reserve and better define its job. After years of badly executed and at times damaging central bank policy, it's about time.
We share the misgivings of those who fear Congress micromanaging the economy through the Fed. In particular, Democrats seem prone to using the Fed as a giant piggy bank — such as the current foolish proposal to use Fed dividends to fund Congress' pet pork-barrel...
[snip]
So, yes, the ability of the Fed to do its job without daily political interference is important. But the Fed's much-vaunted independence doesn't mean it shouldn't be accountable, or that Congress shouldn't require the Fed to have rules in doing its job — as the rest of us have.
That's just what a new bill, the Fed Oversight Reform and Modernization Act (FORM), would do. It passed the House on Friday, but awaits an uncertain fate in the Senate. And even if it passes there, President Obama promises to veto it.
The bill is really pretty simple. It would require the Fed to let people know what rules it uses in making policy. Maximum transparency. The law wouldn't even require the Fed to follow its own rules, but if it doesn't, it must tell the public why. That's it.
Not surprisingly, Fed Chairwoman Janet Yellen is up in arms over the proposed reforms, arguing strenuously that the changes would politicize U.S. monetary policy.
[snip]
The FORM Act is only a first stab at reforming our dysfunctional central bank. Contrary to what Yellen and the Democrats say, the law won't "tie the Fed's hands." It'll only make the Fed responsible for what it does, and transparent in how it does it. It's long overdue.
(Excerpt) Read more at news.investors.com ...
Supposedly Yellen complained to Rand and Pelosi - nobody's seen this letter and everyone's quoting other folks who are quoting it. If she may have had to write it (if she wrote it) but it was a mistake to complain about something that's never going any where and was never intended to go anywhere. All I can see here is cheap, empty political ranting. Yellen and IBD have really got more important things to do here. (mho)
Whoa, Monday already! Hope y'all had a great weekend after last Friday wrapping up NASDAQ's "best week since July" (w/ S&P stalling). Now we got futures upbeat expecting stocks +0.59% and metals +0.22%. We'll be hearing from Existing Home Sales later this AM and it's a short low volume vacation week. I can live w/ that. More news here...
The NY Fed is the source for CIA funding. It must not be transparent to the public. But it must be accountable. It’s a Catch-22.
So Congress doesn't fund the CIA?
It’s a mish-mosh of a bill. It requires the Comptroller of the Currency to audit the Fed, and I don’t believe the Comptroller currently has a audit function. It requires Fed salaries to be posted on a public website; I’m sure Congress wouldn’t sit still for a similar website on Capitol Hill employees. And as you say it includes the weird stuff on inflation and international finance. It’d be hard to enforce and that may well be why the Fed Chair is opposed to it.
That is the classic question that answers itself.
If the Fed did its job as that was originally announced to the public in 1913, it would be responsible for the public good, not just enriching its banker friends.
I doubt whether anyone involved with creating the Fed ever intended to do anything but enrich their friends. But being told publicly and by law to live up to their propaganda is gagging them like a live pollywog in their caviar.
Things would be so much less confusing if we did away with “The FED” and had the DC lunatic asylum manage such affairs. Do I need a sarc tag?
Is there a link on that or am I going to I have to break into my brand new unopened box of tin foil I just bought?
There are already a pile of other audits the fed’s subject to, the lawyers would have a field day trying to say which law would govern.
Question: “New Law Would Force Fed To Do Its Job, So Why Does Fed Oppose It?”
Answer: see first nine words of title
--and ignore all the stuff Congress has added in since? My take is that the FED is the hired help, and when the paid help's goofing off I fault management for not doing its job.
I guess not but you did have me there for a sec...
Congress funds a small amount, but the bulk of the funding is never shown to the public. There is no limit to the off-books funding.
Believe what you want. Or don’t believe. It matters not. The NY Fed’s veil will never be lifted in toto. Just ask those in proximity to Chris Dodd and Barney Frank.
The budget for intelligence and security is limitless. It is whatever it has to be, whatever it takes.
What job is the Fed not doing?
And where does the New York Fed get the money to fund the CIA with?
Done by both internal and external auditors. I'm not sure what people think is being hidden.
“I doubt whether anyone involved with creating the Fed ever intended to do anything but enrich their friends.”
Exactly!
The Fed has become so politicized it’s beyond redemption.
The modern Fed is tantamount to the money changers during Christ’s time.
Oh, please. You don’t know the basics of money creation?
The money is created on computers and appears in accounts worldwide. The location and cover of those accounts are managed by persons in the agencies.
Google Luxenbourg and SECOM to get a glimpse of the infrastructure. For example:
http://www.clearstream.com/luxcsd-en
Be warned though that if you get too close to these people, you are at risk of either being found dead or having disappeared. I know some of those people and they have 747’s that are swankier than Trump’s and come close to the 747 of Prince Alwaleed.
The Bush family is very thick in it.
Prince Charles has a SECOM license that authorizes over 1800 accounts worldwide with trillions in liquidity and credit accounts.
How do I know? I’m just a crank right? Yeah, I am just a looney internet whistler. The fact is I got close but not close enough to lose my freedom or my life. I had a chance to be in with a group that could get a SECOM license but I realized I’m personally not strong enough to play that game. Hitmen are everywhere in that world.
You can choose to believe this is all conspiracy drivel. In fact, it will be safer for you to believe that. But if you choose to give it credibility or plausibility, then you have to come to terms with it. You have to accept that the NY Fed is never going to be put on a leash, not in our lifetimes.
Now if you accept at least plausibility, then you will be better able to understand the ‘Uniparty’ behavior of the Beltway, how they scratch each other’s backs, how they are so ‘civil’ with each other. Because power is about being in the inner ring of the NY Fed. And if there is no civility, then Hell is unleashed in civil war. Get the picture?
The problem we face today is not this concentrated power, but the fact that the power has gone global and we as Americans are expendable. That’s where we say enough is enough. The Fed’s inner ring needs to understand they’ve gone too far and that’s where Donald Trump comes in. Ok?
But don’t worry, it will work out because we still have powerful people that give a damn about America. But now you know a little something and you can forget it. Just be insistent on standing your ground for your American heritage and everything will work out.
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