A letter from my Senator (Wyden)Submitted by jake.derman on Sat, 09/15/2012 - 15:45
I messaged Mr. Ron Wyden on not co-sponsoring Audit the Fed... Two weeks later, this was his response....WHAT SHOULD I SAY BACK?
Dear Mr. #$%^&$%^&*
Thank you for contacting me about the Federal Reserve. I appreciate hearing from you about this important issue.
As you know, the Federal Reserve (Fed) is the central banking system of the United States and acts as a "lender of last resort" to the nation's financial system. The latest financial crisis and sluggish economy have heightened the importance of this role.
Like you, I believe shedding light on the actions of the Federal Reserve is necessary for creating greater transparency and accountability. I also believe American taxpayers deserve to understand what actions were taken by the Federal Reserve during and after the 2008 financial crisis. Because of this I supported an amendment offered by Senator Bernie Sanders of Vermont that directed the Government Accountability Office (GAO) to conduct a top to bottom audit of the Federal Reserve. This amendment was included in the final passage the Dodd-Frank Wall Street Reform and Consumer Protection Act that President Obama signed into law in July of 2010. This audit included all of the emergency actions taken by the Federal Reserve during the financial crisis with a particular focus on all of the potential conflicts of interest surrounding previously secret deals. An audit of the Fed's emergency activities during the financial crisis was released in July 2011, and an audit of Fed governance was released in October 2011.
Like many Americans, I was troubled by the findings of the audit and believe Congress and the Federal Reserve should work together to address the findings. However, when doing so it is important to understand the unique challenges that Congress faces when addressing our central bank. Congress must strike the right balance between the Fed being responsive to Congress and at the same time allow for the Fed's decisions to be free from political influence in its decision making. I am committed to finding a bipartisan, common-sense solution that is in the best interest of the American people and helps to stabilize the financial system, but does not undermines the Fed’s political independence or risk the financial stability of our central bank.
Please know that I will continue to look for common-sense ways to bring transparency and accountability to the Federal Reserve. Please also know that as I do so I will keep your views in mind. Again, thank you for keeping me apprised of your views. If I can be of any further assistance to you on this or other issues, please do not hesitate to contact me.
United States Senator
To write to me, go to http://wyden.senate.gov/ and choose the "Contact" link. Please do not reply to this e-mail. Mail sent to this address cannot be answered.