My good friend, Alex Pollock, wrote a recent article for the New York Sun that I highly recommend every concerned citizen read about the manner in which the Federal Reserve has been handling monetary policy in recent decades and the need for its policies to be overseen, perhaps by a special bi-partisan Congressional oversight committee.
From the article
Why does the Fed need a guardian? Its formidable power combined with the inherent unknowability of the economic future makes it a most dangerous source of systemic risk, and it experiences the constant temptation to be the captive finance company of the Treasury.
A way to improve the substantive oversight of the Congress would be for the Senate Banking Committee and the House Financial Services Committee to each form a new subcommittee devoted solely to engaging the key issues of the Federal Reserve.
Read the full article here