Posted on 05/17/2016 6:09:38 AM PDT by expat_panama
Democratic presidential front-runner Hillary Clinton said she would support changes to the top ranks of the Federal Reserve, an issue recently championed by progressive groups amid debate over how long the central bank should keep supporting the American economy.
The Fed is led by a seven-member board of governors based in Washington and a dozen regional bank presidents based across the country, from New York to Kansas City to San Francisco. The governors are nominated by the White House and approved by the Senate, but regional bank presidents are selected by their boards of directors, whose occupants are chosen by the banking industry and by the Fed governors in Washington.
In a statement to The Washington Post, Clinton’s campaign said she supports removing bankers from the boards of directors and increasing diversity within the Fed....
...Those officials tend to be white males. Yellen is the first woman...
...a spokesman for the Fed’s board of governors said it is committed to fostering diversity of all types...
...Yellen said there are limits to the central bank’s ability to help disadvantaged communities.
"It’s important to recognize that our powers, which involve setting interest rates, affecting financial conditions, are not targeted and can't be targeted at the experience of particular groups,” she said. “I think it always has been true and continues to be true that when the labor market improves, the experience of all groups does improve."
The Fed established an internal diversity office in 2011 as part of sweeping congressional reforms of the country’s financial system. The latest annual report for the Washington-based board of governors found minorities made up just 18 percent of top management in 2015, down from 21 percent the previous year. However, more than half of mid-level managers and administrative and support workers are minorities.
(Excerpt) Read more at washingtonpost.com ...
How come there is not affirmative action in the NFL and NBA for all races?
Our hero Ron Paul said get rid of the Fed. Sounds good to me.
OMG
Diversity is not the problem with the Fed.
The Fed is causing serious long term distortions in the economy by artificially holding down interest rates for a prolonged period. Its resulted in a lot of malinvestment and misallocation of resources. We’re going to pay a big price for this economicmanipulation eventually.
Take the world’s most influential bank, fire all the bankers, and put it in the hands of Affirmative Action hires who know nothing about Banking.
What could go wrong?
and increasing diversity within the Fed....
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Always, always, always race B.S.
..another TSA
If it made a difference, HIllary would not be for it.
Re the interest rates, seniors have been bombed by this for almost 10 years now as their savings are being eroded by inflation while their interest rates are near zero. It is a big contributor in the drop in family incomes. In effect, as the low interest rates force individuals to seek higher ROIs, it has resulted in a false support for equities and home prices IMO.
Trump said the other day the FED cannot allow interest rates to climb much (until he is elected of course) because the result will be monumental deficits and a steep drop in the markets along with home prices. IOW, the financial side of what has been a glossed over industrial recession. Once the spiral begins, it may be unstoppable, again IMO.
The Fed is supposed to be public/private, and from what I understand she proposes taking over the private portion, which is supposed to represent private banking, kick out the bankers and put in political minority hacks?
The last time the government ordered banks to suck up to racial groups, the housing market collapsed and caused a recession.
Mess with the Federal Reserve you won’t live very long
The Pols have the Fed by the shorthairs with this huge national debt. The Fed knows it will trigger a death spiral by trying to raise rates. Hence they won’t. This was a deliberate strategy employed by Clinton when he shifted the national debt out of long-term and into short-term instruments in the 90’s. Everyone else in the world who gets by selling us crap knows that if we go down, they all go down harder. So they are going to wink and nod, and urge the Fed to keep on printing.
Everyone has skin in the game and too much to lose. I think they can all keep this game of three card monte going for a LOOOOOOOOONG time.
I wonder. Interest rates are determined by the intersection of the LM Curve (monetary policy) and IS Curve (fiscal policy). Right now, it seems to me that we are in what both Keynes and Friedman called the Liquidity Trap. If true, monetary policy is pretty much ineffective and you need fiscal measures to pull us out, which essential boils down to two broad policy measures: 1) increase spending, or 2) lower taxes. Since our elected political hacks use our tax money to buy votes, they opt for measure #1. Lets try #2 for a while and see if that ends Obozo's 7 years dismal economic record.
I want a card that works at an ATM that spits out ca$h from Bammy’s $tash.
The same has been said about the Clintons. I’m sure her banking buddies know she is just saying whatever it takes to get elected.
Exactly what the country needs. Weaken the independence of the Federal Reserve, especially its “localism” features, so that President Clinton’s political appointments will vest control in DC — at the expense of the regional banks.
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