I’ve read opposing views on auditing the workings of the Open Market Committee and, to be honest, I’m torn about that. It appears to me that both sides of auditing the workings of the Committee are trying to make the issue more complicated than it should be. I have to read more before taking a position on that part of the bill.
The question I have, what problem are your suggestions designed to fix?
"at a minimum the Comptroller General should have the power to audit member banks without written permission in advance from the Fed."
What conspiracy has been uncovered that this would prevent? I know of none. At the same time, I know of dangers of "audits" by the government: they begin on paper and end with night visits by secret police (yes, laugh all you want). The Reserve banks are a coalition. You don't want to be a part of it --- stay out, whether you are a government or a private citizen. And here lies the crux of the matter: with all the suspicions you and I may have about coalitions (and vigilant we must be), there has never been a better system in the history of the world. Small private citizens lack sufficient capital. The alternative is the Government itself. And that has always been the problem: as Hayek well pointed out, once the economic freedom goes, the rest of the freedoms follow.
"I also think the Comptroller General should probably audit discount window operations, the reserves of member banks and interest on their deposits."
All this is public knowledge. The Fed publishes its balance sheets periodically. If there were some kind of anti-social activity, it could exist for no longer than one period. What is the benefit of speeding this up? Questionable, if any; but the dangers are numerous.
I understand your position much better now; thank you.