Economics

You May Have Gotten Away This Time, Bernanke….

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It occurs to me that nobody has posted anything about the Senate's defeat of the "Audit the Fed" proposal the other day, so consider this more or less an open thread.

Speaking only for myself, I like the idea, but I have managed to keep my excitement in check because a) I believe a congressional audit of the Federal Reserve Bank will never happen on this planet; b) as a separation-of-powers and rules-of-order enthusiast, I'm secretly happy even when something I like gets blocked on procedural grounds; and c) the idea of the audit has been buzzing around the bonnet of Rep. Ron Paul (R-Texas) for 26 years, so if the idea ever does come to fruition (see a) above), we can afford to be patient.

Meanwhile, it's entertaining to see the Fed's priesthood in full self-protective mode. While reading deputy chairman Donald Kohn's explanation of why the Fed shouldn't answer to Congress, I enjoyed a laugh that was every bit as manly, bitter and ironic as Charlton Heston's guffaws at the 5:05-5:22 mark here.

NEXT: Gavin Newsom Goes Pol Pot: Orders Gardenification of San Francisco! All Residents With Eyeglasses and Presumed Bourgeois Tendencies Please Report to The Nearest Street Median to Begin Growing Food!

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  1. With as many cosponsors in the house as they have, I’m not as pessimistic as Tim. I’m not familiar with the rules that keeps this off the floor, but I find it hard to believe that Pelosi is the absolute dictator of the house.

  2. Umm . . . I’m pretty sure Pelosi is the absolute dicatator of the House.

    For now, anyways–I have a hunch the Dem majority and their influence will be gone around 2010, cockeyed optimist that I am.

  3. They should do a mashup of someone asking Heston a question and post his laugh as the response and then post the question and his response to youtube.

  4. the fed should be auditied and shut down since it is an unconst entity. any rep who does not think so is unamerican palin and simple. the people have the right to audit and do whatever the people want to the goverment since we run it. by the people for the people, not by pelosi for the people she shes fit.

  5. it was supposed to be plain and simple, but i guess palin and simple is a good slip, lol

  6. reason sucks

  7. the people have the right to audit and do whatever the people want to the goverment since we run it.

    But what if protecting the Fed from an audit by ye Olde House of Lords strengthened your right to be protected from an audit by the ‘ouse of Commons?

    There are arguments against congressional probes of independent agencies. But they do not apply here, as there appears to be no daylight, and possibly no molecular separation of any kind, between the Federal Reserve and Uncle Sucker.

  8. the fed should be auditied and shut down since it is an unconst entity. any rep who does not think so is unamerican palin and simple.

    RC’z Law award winner of the week.

  9. How does Free Agent Palin stand on the Fed anyway?

    It’s easy to vituperate the Fed from up in former Russian territory, but we must presume somebody sat her down and gave her the talking to when she traveled the lower 48 with McCain.

    Or maybe we mustn’t presume nothing?

  10. Some people need to go and get edumacated about the Fed. It has created great wealth and prosperity in this country. Why don’t you audit communists go take a hike.

  11. “How does Free Agent Palin stand on the Fed anyway?”

    Give it a rest, honey.

  12. 2010? I assume you think the GOP will be winning more seats then? So, I’m assuming that the more seats those a-holes get, the less enthusiasm they will show for Paul’s bill.

  13. [i]There are arguments against congressional probes of independent agencies. But they do not apply here, as there appears to be no daylight, and possibly no molecular separation of any kind, between the Federal Reserve and Uncle Sucker.[/i]

    I agree there. I think there is also something to be said about auditing the entity that has direct control over the value of the money the people are forced to use and the consequences of that control.

    troy,
    It seems that the Fed has created the illusion of wealth and prosperity. Also, defending the Fed while dismissing someone as a communist is pretty ridiculous.

  14. Shitty. Those tags don’t work here.

  15. “If the … [GAO] … were authorized to audit the Fed, that “could cast a chill on monetary policy deliberations,” Kohn told a House of Representatives committee.

    This sort of “defense” in itself seems an excellent reason to audit. Perhaps a new form of “classified” (say, OPAQUE) will prevent any such chilling.

  16. It’s not like you’re the only one missing important events. Those pseudocons over at LooCrockShill hadn’t said a word about Honduras until just today.

  17. For now, anyways–I have a hunch the Dem majority and their influence will be gone around 2010, cockeyed optimist that I am.

    Is that because you also have a hunch that a shit load of light lime green skinned female Political Alien Center Fold Models is going to land in a space ship, in late in 2009? And announce that they’re here to save us?

    I mean, in that case I really like your hunch. Otherwise you’re just dreaming.

  18. “”””It’s not like you’re the only one missing important events. Those pseudocons over at LooCrockShill hadn’t said a word about Honduras”””””

    Since I don’t think any of them are Honduran I don’t see why commenting on it is a high priority. While on the other hand for example the FED is suppose to be American and most of the commentators at LewRockwell are American its not surprising that they care more about the FED then about Honduras. And if you look at the comment you will notice its is mostly about the US not Honduras

  19. the bill was shot down as an amendment to a spending bill. Rule 14 says that you can’t amend a policy bill to a spending bill, but it’s done ALL the time and the spending bill had other policy amendments.

    there bill is still its own bill and that hasn’t gone anywhere yet.

    it only has 8 cosponsors at the moment though

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