How long will it be before everyone realizes that neither Congress nor the President is in charge?
The Federal Reserve Board has rejected a request by U.S. Treasury Secretary Timothy Geithner for a public review of the central bank’s structure and governance, three people familiar with the matter said. The Obama administration proposed on June 17 a financial- regulatory overhaul including a “comprehensive review” of the Fed’s “ability to accomplish its existing and proposed functions” and the role of its regional banks. The Fed was to lead the study and enlist the Treasury and “a wide range of external experts.”
“The Fed was created by Congress and it is not part of the executive branch.” That sounds like a plausible excuse, except for the fact that the Fed has replied to Congress in precisely the same manner.