On Tuesday, the House Oversight and Government Reform Committee passed a bill that will bring them one step closer to fully auditing the Federal Reserve.
Kentucky firebrand Rand Paul has been attempting to pass this bill for years now, arguing that the Reserve has been allowed to meddle in the free market “unchecked” and “unconstitutionally” for too long.
The House passed versions of this bill back in 2012 and 2014 with more than a dozen Democrats supporting the bill.
While these versions ultimately died in the Senate, one thing that may be different this time around is having a president that supports the bill and a majority in Congress for Republicans.
On the campaign trail, then-candidate Trump made several comments about passing legislation to audit the Reserve.
It is so important to audit The Federal Reserve, and yet Ted Cruz missed the vote on the bill that would allow this to be done.
— Donald J. Trump (@realDonaldTrump) February 22, 2016
— Senator Rand Paul (@RandPaul) January 4, 2017
With the president on board and even more Republicans on his side, Rand Paul has reintroduced the Federal Reserve Transparency Act of 2017.
If the bill passes, the Government Accountability Office would have one full year to audit the Federal Reserve’s Board of Governors and reserve banks. Subsequently, they would then report all of their findings to Congress in 90 days.
Congressman Thomas Massie, the sponsor of the Federal Reserve Transparency Act of 2017, has been very public lately about why we need to get this bill passed and fully audit the Federal Reserve.
“By auditing the Federal Reserve, we might find out if the Federal Reserve bases its decisions on sound economics,” he said. “We might find out that their decisions are bound by conflicts of interest, and not bound by sound economic principles, and who knows what we’ll find out.”
It is important to understand that the Federal Reserve is a part of the establishment. The Reserve controls the economy from the shadows and isn’t bound to be transparent with their actions.
The biggest problem with the Reserve, which has been echoed by Rand Paul for years, is the fact that their printing press — that continues to go unchecked — has caused recessions and dramatically increases income inequality.
The only way to find a solution is to fully analyze the problem. We are one step closer to finding a solution.