House Committee Passes Bill To "Audit The Fed"

Tyler Durden's picture

The Republican-controlled Committee on Oversight and Government Reform approved a bill earlier today to allow for a congressional audit of the Federal Reserve's monetary policy, a proposal Fed policymakers have opposed and likely faces a difficult path to final approval in the Senate.  Under the bill, the Fed’s monetary policy deliberations could be subject
to outside review by the Government Accountability Office. 

While similar bills have garnered some support from Democrats in the past, they uniformly spoke against the current proposal during a meeting of the House of Representatives suggesting the current iteration would face stronger resistance from an increasingly polarized environment in Washington D.C..

The House previously passed similar versions of this legislation twice before in 2012 and 2014, with dozens of Democrats joining nearly unanimous Republican support.  That said, those bills both died in the Senate and likely would have faced a Presidential veto from Obama had they survived anyway.

That said, Trump expressed interest in passing such legislation multiple times during the 2016 campaign cycle which means the 3rd time might just be the charm for Republicans. 

 

And while proponents of the bill argue that the Fed wields too much power over the U.S. economy with minimal oversight, opponents assert that Fed decisions should be informed purely by economic indicators and completely insulated from "political pressure"...and we presume those same opponents would argue that Yellen's decision to wait until just after the conclusion of the 2016 Presidential election to start hiking rates had absolutely nothing to do with politics.  Per Reuters:

Proponents of the measure argue that the Fed is too powerful and lacks sufficient oversight for its interest rate decisions. But Fed officials from Yellen on down, as well as other critics, have warned that such a policy could subject the Fed to undue political pressure and discourage it from taking unpopular steps for the good of the overall economy.

 

"We should not in any way hinder their independence," said Representative Carolyn Maloney, a New York Democrat, echoing the sentiment of Fed policymakers who say they could come under political pressure to avoid making unpopular decisions such as raising interest rates to slow growth and control inflation.

The next step for the bill would be a floor vote by the entire House, where Republicans hold a solid majority, followed by a Senate vote that would be much more difficult given Republcans' narrow lead.

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Jäger's picture

"Imprison the Fed"

Hammer823's picture

No audit will be permitted.  The biggest rigger of the US stock market will not be allowed to have their methods questioned.

https://www.instagram.com/the_rigged_street_journal/

BullyBearish's picture

Don't audit the fed...

 

E  N  D     T   H   E      F     E     D         E  N  D     T   H   E      F     E     D        E  N  D     T   H   E      F     E     D

E  N  D     T   H   E      F     E     D         E  N  D     T   H   E      F     E     D        E  N  D     T   H   E      F     E     D

E  N  D     T   H   E      F     E     D         E  N  D     T   H   E      F     E     D        E  N  D     T   H   E      F     E     D

E  N  D     T   H   E      F     E     D         E  N  D     T   H   E      F     E     D        E  N  D     T   H   E      F     E     D

E  N  D     T   H   E      F     E     D         E  N  D     T   H   E      F     E     D        E  N  D     T   H   E      F     E     D

strannick's picture

The independent Fed has private secret shareholders

JRobby's picture

Gave them plenty of time to hide all the shit from 2008 - 2010.

Still might be interesting.......................

(Laugh Track Deafening !!!)

Syrin's picture

RAND PAUL FOR SPEAKER OF THE HOUSE

BigFatUglyBubble's picture

Gary Cohn: "The Fed Is Doing A Good Job"; Trump "Respects The Powers Of The Fed"

Gary Cohn, Ex-Goldman Sachs President, Chief Economic Advisor to Trump - March 2017

http://www.zerohedge.com/news/2017-03-12/gary-cohn-fed-doing-good-job-tr...

froze25's picture

Respecting something and agreeing with its policies are two different animals. Boxers respect each other, both want the other guy to lose.

BigFatUglyBubble's picture

wow, welcome me to the spin factory.  Do you know who Gary Cohn is?  Do you understand what kind of person it takes to be president of GS?  Those (((people))) make their scam happen due to uber-loose money from the FED.  Do you think they want it to stop?  Do you believe Gary Cohn has no loyalties to his former (((employer))) and all his loyalties are to the American people?

You are trying too hard man.  He's telling you outright who the boss is, you don't get it though.

Got The Wrong No's picture

You seem to be the one that tries too hard. What's your game?

Troll Magnet's picture

This is the litmus test of all litmus tests.  Let's see where DT stands.

knukles's picture

Come on.  To "allow for a congressional audit of the Federal Reserve's monetary policy" means to go back over the records of deliberations and staff inputs and make sure that somebody might have had a fucking clue.
It does nothing to stop fractional banking, disclosure of accounts, balances and counterparties by obligation type, to outlaw fiat.
Does fuck all of any of that.

This is and always has been a smoke screen. 
Look over there!  A Russian moose and squirrel!

Mano-A-Mano's picture

Trump better not veto the bill.

bob_bichen's picture

RE:  Spammer Mano-a-Mano, Kavlar, techies-r-us, stizazz (the same person):

You have NO IDEA how troubled this individual, the Spammer With One Hundred Log-ons, really is.  He has trolled and spammed his website crap on here forever, always with the same macabre conversations with a long series of "imaginary playmates." It really is quite perverse and whoever "he" is, he seems to really get his rocks off voting himself up arrows and replying to his own comments, and also appears to have no life beyond making off-topic comments with his link to the SPAM-, TROJAN-, VIRUS-INFESTED  "biblicisminstitute,wordpress,com"

He shares this pathology with TrollAndDump (formerly known as XYTHRAS - since banned) whose "dailywesterner,com" is, if anything WORSE than the biblicism fetishist, also SPAM-, TROJAN-, VIRUS-INFESTED.

Other ZHers  may wish to take one minute to send an email to abuse@zerohedge.com requesting that all of the "imaginary friends" (in the list below; copy and paste)   be permanently banned for spamming.

As you do that, use your imagination to try to conceive of what type of whackadoo would spend their life in pajamas, eating stale chips and drinking cheap soda from the dollar store, popping zits, and spamming zerohedge. 

Many of the following have been banned but, like crabs and cockroaches, they just seem to come back.  The "short list of imaginary playmates" includes:

kavlar
mano-a-mano

letsit
tazs

techies-r-us

stizazz

lock-stock

beauticelli  
mofio

santafe
Aristotle of Greece

Gargoyle

bleu

oops

lance-a-lot
Loftie

toro
Yippee Kiyay

lonnng
Nekoti

SumTing Wong

King Tut
Adullam

espirit

rp2016

Holy hand grenade of Antioch,

etc. etc. etc.

e_goldstein's picture

Raze it instead, and as a bonus, send every practicing Keynesian economist to a forced labor camp for committing crimes against humanity.

BigFatUglyBubble's picture

Eph 5:11 - Take no part in the worthless deeds of evil and darkness; instead, expose them.

Mr. Universe's picture

I'm so tired of hearing the old line "You have to have the Fed, otherwise politicians would be in charge of the money, you don't want that do you?

My current answer is "Listen, hear, fuckface. Tell me why I would rather have unaccountable foreign corporations printing legal tender with no restriction vs. a politician who is supposed to represent the poeple, defend the constitution and can be held accountable..." The big problem is "supposed".

“I wouldn't recommend sex, drugs or insanity for everyone, but they've always worked for me.” H.S Thompson

Hunter could have been a director of the Fed.

FoggyWorld's picture

Trey Gowdy for Director of the FBI.

BullyBearish's picture

When the market ramps up on no news, like today I call it a fed BIG DICK day...janet yanks it out when she needs to remind us who has the biggest dick...but, there will come a day, soon, when ALL THE VIAGRA in the world won't turn that flaccid dick hard, and at that time we will know that the fed has gone short...

GUS100CORRINA's picture

House Committee Passes Bill To "Audit The Fed"

My Response: GREAT NEWS!!

Now let's see some fire works. We know their BOOKS are COOKED at the FED.

KENNEDY EXECUTIVE ORDER 11110 => Money Creation by US Treasury instead of the FED.

DRAIN the FED SWAMP. 

https://en.wikipedia.org/wiki/Executive_Order_11110

Agstacker's picture

Yea, and remember what happened to Kennedy...

A82EBA's picture

and homeland, cia and treasury

 

 

 

 

ATM's picture

Rand Paul is a Senator....

Uncle Sugar's picture

Speaker of the Senate then!

/s

Al Gophilia's picture

And a career one at that.

Zorba's idea's picture

 btw, Rand is a senator...Rand Paul for Senate Majority Leader!

grizfish's picture

Wow!  Never heard of a Senator being Speaker of the House.

You got dozens of up votes for suggesting something that has never happened before?  Wow again!

Akzed's picture

One need not be a member of congress to be speaker.

A Man of Wealth and Taste's picture

No, best to keep him in the Senate...

Got The Wrong No's picture

I heard they just ordered a John Deere Wood Chipper. It's big enough to get ride of all kinds of physical evidence. 

The Wizard's picture

"We should not in any way hinder their independence," said Representative Carolyn Maloney, a New York Democrat, echoing the sentiment of Fed policymakers who say they could come under political pressure to avoid making unpopular decisions such as raising interest rates to slow growth and control inflation.

The sentence needs completion: We shoul not in any way hinder their independence to manipulate markets and currency values.

Jacksons Ghost's picture

Hey Donald, I wouldn't say Ted was "missing" that vote.  Apologies to Office Space.

NoDebt's picture

The Fed:  The only thing that the government is afraid to regulate or even look at.  Even the commies and socialists in the Democrat party who normally want to regulate every aspect of human life on the planet start sounding like Milton Friedaman when the subject of auditing the Fed comes up.  They're apparently the one thing government isn't allowed to touch.

 

 

 

BigFatUglyBubble's picture

Max Keiser was saying when he went to England to do some reporting or interview for a channel or something, he was instructed to not even mention the BoE.

e_goldstein's picture

They fear gnome magic

(and Israeli assassins).

twh99's picture

If we went back to the Gold Standard there would be little need for the Fed.

SILVERGEDDON's picture

Destroy the FED.

Burn it down.

REMOVE IT DOWN TO THE LAST GRAIN OF SAND USED TO BUILD IT. 

Salt the earth it stood upon.

Build a wall around where it once stood.

Put a moat, a minefield, and an electric fence around the wall. 

Never Forget Financial Imaginary Slavery Built Upon Fake Money.  

Logan 5's picture

So let me try and figure out your exquisite logic...

 

You want to BURN DOWN the FED... (most agree)

 

But you think that's gonna happen while Jared Kushner is whispering sweet nothings into Trumps ear...

Justin Case's picture

The FED owns USA Inc.

Subject:  .The Bankruptcy of The United States
United States Congressional Record, March 17, 1993 Vol. 33, page H-1303

The receivers of the United States Bankruptcy are the International
Bankers, via the United Nations, the World Bank and the International
Monetary Fund. All United States Offices, Officials, and Departments are now
operating within a de facto status in name only under Emergency War Powers.
With the Constitutional Republican form of Government now dissolved, the
receivers of the Bankruptcy have adopted a new form of government for the
United States. This new form of government is known as a Democracy, being an
established Socialist/Communist order under a new governor for America. This
act was instituted and established by transferring and/or placing the Office
of the Secretary of Treasury to that of the Governor of the International
Monetary Fund. Public Law 94-564, page 8, Section H.R. 13955 reads in part:
"The U.S. Secretary of Treasury receives no compensation for representing
the United States."

J Jason Djfmam's picture

If they cease to exist, they don't own diddly squat.

August's picture

Real Slavery Built Upon Fake Money

FIFY

flaminratzazz's picture

No shit..as if.. there will be no audit, no questions, no answers and no fvks given..now run along goyim Rand, you have jew cocks that need sucking.

TwelveOhOne's picture

I'm reading a whole bunch of "pisseth against the wall" in 2 Kings; the picture reminded me of that, for some reason.