|Fed Annual Reports: Dealing with|
gloomy forecasts and "uncertainty"...
Found two things of particular interest in the Philly Fed's annual progress report. First, the commentary piece [ "Fiscal Policy and Monetary Policy: Restoring The Boundaries"] by the President of the Philadelphia Fed, Mr. Charles I. Plosser, is a strikingly thoughtful review of overall Federal Reserve policy since 2008, outlining much concern that The Fed may have dangerously overstepped its monetary mandate and outlining the daunting difficulties ahead.
The Fed, the Congress, and the Country are at significant risk in trying to unwind the current fiscal "dire straits" in which we now find ourselves. "Fevered or unfevered", the article is well worth your time - and most fortunately, it's written in intelligent, "non-robust" English and runs just a couple of pages.
The second point of interest was the wealth of ways the Philly Fed is involved within the Fed district it serves. The annual report prominently marks the numerous sources of advice and feedback the bank has developed to assure it stays informed and attuned to the folks it serves.
There is a nine member Citizens Advisory Council of which Mr. Plosser says: "I am grateful for the continued advice and counsel of the nine citizens who serve on the board." There is also an Economic Council composed of leaders from District industry, manufacturers, and non-profits. The Community Depository Institutions Advisory Council has 12 financial leaders, including two representing credit unions. And, Mr. Plosser even speaks proudly of the District's representative on the national Federal Advisory Council which meets quarterly with the Chairman and full Federal Reserve Board.
Yes, even "The Big FED" has several working advisory councils which meet regularly to provide insight, as does the FDIC, as do the Federal Home Loan Banks. One of the very first initiatives of the brand spanking new CFPB was to create citizen/business advisory groups - in which credit unions were thankfully included.
So, here's Test Question #1: Name the one federal regulatory agency which hasn't formed any advisory groups to provide periodic advice and counsel?
Test Question #2: Why no dialogue at NCUA? Is everyone else foolish?
ACCOUNTABILITY - COMPETENCY - TRANSPARENCY