March 4, 2012
The Federal Reserve’s relationship with Congress is growing more complicated as lawmakers second-guess its decisions and look to impose reforms.
On Monday, the Fed will again face congressional scrutiny, as Rep. Kevin Brady (R-Texas) unveils a sweeping bill aimed at limiting what actions the Fed can take. The legislation from Brady, the vice chairman of the Joint Economic Committee who also holds a top spot on the Ways and Means Committee, is the latest in a series of bills in the 112th Congress aimed at reworking the central bank.
While libertarian firebrand Rep. Ron Paul (R-Texas) is most associated with Fed scrutiny, members of both parties have begun to second-guess how the Fed conducts its business. On the left, Sen. Bernie Sanders (I-Vt.) has emerged as a vociferous critic.
“It’s a funny development,” said Barry Bosworth, an economist with the Brookings Institution. “Historically, I would not have thought that there was a lot of antagonism between the Congress and the Federal Reserve.”
This article was posted: Sunday, March 4, 2012 at 6:35 am