A sound monetary policy is critical for maintaining a strong economy. Because the Federal Reserve’s monetary policy actions affect both inflation and economic activity, those actions should be transparent. Moreover, the Fed’s important role as a lender of last resort should also be carried out in a more transparent manner. A free society demands that the light of day shine on all elements of government. Therefore, we must advance substantive legislation that brings transparency and accountability to the Federal Reserve, the Federal Open Market Committee, and the Fed’s dealings with foreign central banks.
The largesse of federal government is structurally and financially broken. For decades the federal government has engaged in activities that are beyond its core functions, increasing spending to unsustainable levels. Elected officials have overpromised and overspent, and now the bills are due. Unless we take dramatic action now, young Americans and their children will inherit an unprecedented legacy of enormous and unsustainable debt, with the interest alone consuming an ever-increasing portion of the country’s wealth. The specter of national bankruptcy that now hangs over much of Europe is a warning to us as well.