All Commentary
Friday, May 25, 2012

Fed Official Raises Concerns about Power

“The debate over how the Federal Reserve can best articulate its policy actions grew on Friday as a top Fed official warned against discretionary decisions, and asked whether a more systematic approach was desirable…. ‘The degree to which policy actions, for better or worse, have become increasingly discretionary should give us pause as we try to evaluate policy choices…’ [Philadelphia Fed President Charles] Plosser said in prepared remarks to the Deutsche Bundesbank Spring Conference.” (Reuters)

Beware discretionary power.

FEE Timely Classic
“The Myth of the Independent Fed” by Thomas J. DiLorenzo