Ron Paul makes the FT

[cd27]

Fed warns: no congressional scrutiny whatsoever

FT.com / US / Economy & Fed - Fed warns on Congressional scrutiny

The Federal Reserve warned on Thursday that a growing congressional threat to curtail its independence would destabilise markets and raise the cost of servicing US debt for “current and future generations”.

Ron Paul, the Texas Republican, has gathered the support of a majority of the House of Representatives for a bill that would audit the Fed’s monetary policy decisions. He told a Congressional hearing he wanted the power to prevent the Fed being "secret and clandestine and serving special interests”.

The Fed is struggling to face down a political backlash from different parts of Congress amid scepticism over its policies designed to restart the flow of credit and the award of new powers to curb systemic risks.

Donald Kohn, vice-chairman of the Fed, argued at the House financial services subcommittee hearing that any sense of political interference would negatively affect markets. “Any substantial erosion of the Federal Reserve’s monetary independence likely would lead to higher long-term interest rates as investors begin to fear future inflation,” he said.

[CookieMonster]

I'm sure it's struck more than just me, but does the Fed's calling for more power in more areas seem an awful lot like escalation of commitment, trying to gain more areas on control so as to unballsup the ballsup they've already made of things?

[Tommy Tayto]

I wonder if Ron Paul is planning on running for the next election? I think people would take him a lot more seriously this time, and he's had a huge amount of publicity from his fed busting efforts. He's now in the political mainstream, I dare say. He would wipe the floor with Palin, that's for sure. But then again, that wouldn't be too hard...

[cd27]

I'd say he'll run for the nomination again but doubt he'll get much mainstream support from a party that thought Palin wasn't brain dead!

[one acre capitalist]

I wonder if Ron Paul is planning on running for the next election? I think people would take him a lot more seriously this time, and he's had a huge amount of publicity from his fed busting efforts. He's now in the political mainstream, I dare say. He would wipe the floor with Palin, that's for sure. But then again, that wouldn't be too hard...

how could you take this nut seriously after seeing Bruno

[Tommy Tayto]

how could you take this nut seriously after seeing Bruno

What are you talking about?