5 ms·
i'm sure that is deep solace when you lose half of your savings to inflation. btw not sure which central banks you're thinking of, but this checks and balances
by nyolfen 2y ago
i'm sure that is deep solace when you lose half of your savings to inflation. btw not sure which central banks you're thinking of, but this checks and balances stuff does not apply to the fed at least; it is explicitly defined as independent (ie unaccountable).
- lottin 2y agoIndependent doesn't mean unaccountable. The Fed is accountable to the Congress.
- nyolfen 2y agoaccountable in the sense that it approves appointees and receives reports, not in the sense that congress or voters have any say in monetary policy decisions. this is literally the point of the fed, to put it outside of electoral politics so it is not subject to democracy.
- lottin 2y agoThe Fed has a public mandate, and the Congress has the responsibility and the power to make sure that it fulfils such mandate. Therefore it is accountable and it is subject to democracy, and at the same time independent from the electoral cycle.