The Fed Steers the Ship, but We Deserve to Know Where We're Headed

Given the release Friday of the semiannual report on Federal Reserve policy to Congress, it’s a good time to consider how to make the oversight process more useful. There has been much talk in recent years about making the Fed more transparent and accountable.

Unfortunately, the proposals that garner the most interest, like the Fed Oversight Reform and Modernization (FORM) Act, have two basic flaws: They fail the accountability test, and Congress is unlikely to enact them into law. 

We should consider a different approach, one based on well-developed principles of organizational oversight...

Continue reading: The Fed steers the ship, but we deserve to know where we're headed