Items tagged with Federal Reserve:
News & Updates:
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Throughout its history, the U.S. Federal Reserve has engaged in international diplomacy, outside the bounds of (and sometimes in conflict with) the priorities of the White House and U.S. State Department. In directing monetary policy, the Fed’s primary concern is to benefit the U.S. economy. In the process, the Fed at times acts in concert with foreign central banks, as was the case in setting new bank regulations after the 2008 financial crisis. At other times, the Fed acts in ways that other countries view as detrimental to their economic interests. Either way, the Fed operates with little public accountability, and can wind up complicating the work of U.S. diplomats. This brief addresses the questions of whether and how greater oversight of the Fed’s international activities should be pursued. The brief recommends not an overhaul of the Fed’s structure or the elimination of its role in international affairs, but instead calls for greater disclosure of its international activities. The authors suggest that the Fed should provide testimony to Congress twice per year on its foreign policies, just as it does for monetary and regulatory policy. This kind of disclosure permits broader discussion of the Fed’s activities without eliminating the benefits of its institutional independence for monetary policy.
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A bi-partisan committee has been tasked with striking a deal for Department of Homeland Security funding; Congress is putting pressure on pharmaceutical industry to face drug price hearings; New EPA regulations provide greater latitude to natural gas producers; Federal Reserve votes to keep rates constant. -
In a discussion on the board practices of the Federal Reserve, Wharton Professor Peter Conti-Brown provides a historical account of the rotational voting system implemented by the Federal bank. -
In this Bloomberg article, Wharton Professor Peter Conti-Brown is featured in the discussion of whether President Trump has the authority to fire Federal Reserve Chair Jerome Powell. Because of the lack of clarity in the United States Constitution, the Federal Reserve has been treated as an organization that “rests on custom and tradition rather than bedrock law.” Henceforth, there has not been any judicial policies enacted regarding the President and the Federal Reserve.
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Senate Finance Committee meets to discuss importing foreign drug pricing schemes; White House expands employees classified as “essential” in order to bring more staff to work; Labor market appears to remain strong as Jobless Claims drop unexpectedly; Federal Reserve findings show student debt as barrier for potential home owners.
