Auditing the Fed

   Team Trump has started its move to take control of the Federal Reserve Board with a bill introduced in the House of Representatives (H.R. 24) that would have the General Accountability Office (GAO) audit the Fed and its 12 member banks.
   The bill would also repeal bans under current law that prevent the GAO from auditing the Fed's monetary policy and other financial transactions.
   Removing these prohibitions would bring further requests from members of Congress for additional oversight and analysis of the Fed, according to an analysis by the Congressional Budget Office.
   The Fed is already monitored by Congress, which regularly hears reports from the nation's central bank on its activities.
   The Fed cherishes its independence, but eroding that independence would put more of its fiscal policy decisions and actions under tighter review and endanger its ability to rein in inflation and encourage full employment.