In the 1930s the Federal Reserve Act was amended to create the Federal Open Market Committee (FOMC), consisting of the seven members of the Board of Governors of the Federal Reserve System and five representatives from the Federal reserve banks (Section 12B). The FOMC is required to meet at least four times a year (the practice is usually eight times) and is empowered to direct all open-market operations of the Federal reserve banks.
During the 1970s, the Federal Reserve Act was amended to require the Board and the FOMC “to promote effectively the goals of maximum employment, stable prices, and moderate long-term interest rates.”[18] Also in that decade, the Act was amended so that the member governor proposed by the President to be Chairman would have a four year term as Chairman and would be subject to confirmation by the Senate (member governors per se each have 14 year terms, with a specific term ending every two years) (Section 10). The Chairman was also required to appear before Congress at semi-annual hearings to report on the conduct of monetary policy, on economic development, and on the prospects for the future.
END QUOTE
The Fed simply refuses to abide by the first order of business as prescribed in its enabling legislation.
And…which presidents ever even mention this lack of action? Or hold the Fed accountable?
Comment at Krugman’s went something like this:
1) It is proven that water can extinguish most fires.
2) The Fed acknowledges it has plenty of water.
3) The Fed acknowledges it has access to hoses to direct that water where it thinks it is most needed.
4) The Fed has announced it will continue to watch the fire to see if it will extinguish itself, and
5) When it is certain water is really needed it will use it. Really.
Again, with feeling: We have two sides on of one party in power, the Money Party, sucking up to the wealthy and big corporations. Obama sucks, Romney, if elected, will suck*, and we, the people of the lower economic quintiles will be left twisting in the wind.
* Note to Clint Eastwood who stated that “he can’t do that to himself,” Romney sure can suck himself just by sucking up to the Tippy Top One Percenters. Get a grip, Clint.
From Wikipedia:
QUOTE
In the 1930s the Federal Reserve Act was amended to create the Federal Open Market Committee (FOMC), consisting of the seven members of the Board of Governors of the Federal Reserve System and five representatives from the Federal reserve banks (Section 12B). The FOMC is required to meet at least four times a year (the practice is usually eight times) and is empowered to direct all open-market operations of the Federal reserve banks.
During the 1970s, the Federal Reserve Act was amended to require the Board and the FOMC “to promote effectively the goals of maximum employment, stable prices, and moderate long-term interest rates.”[18] Also in that decade, the Act was amended so that the member governor proposed by the President to be Chairman would have a four year term as Chairman and would be subject to confirmation by the Senate (member governors per se each have 14 year terms, with a specific term ending every two years) (Section 10). The Chairman was also required to appear before Congress at semi-annual hearings to report on the conduct of monetary policy, on economic development, and on the prospects for the future.
END QUOTE
The Fed simply refuses to abide by the first order of business as prescribed in its enabling legislation.
And…which presidents ever even mention this lack of action? Or hold the Fed accountable?
Comment at Krugman’s went something like this:
1) It is proven that water can extinguish most fires.
2) The Fed acknowledges it has plenty of water.
3) The Fed acknowledges it has access to hoses to direct that water where it thinks it is most needed.
4) The Fed has announced it will continue to watch the fire to see if it will extinguish itself, and
5) When it is certain water is really needed it will use it. Really.
Again, with feeling: We have two sides on of one party in power, the Money Party, sucking up to the wealthy and big corporations. Obama sucks, Romney, if elected, will suck*, and we, the people of the lower economic quintiles will be left twisting in the wind.
* Note to Clint Eastwood who stated that “he can’t do that to himself,” Romney sure can suck himself just by sucking up to the Tippy Top One Percenters. Get a grip, Clint.