The Fed’s Days of Independence are Numbered
https://www.forbes.com/sites/kevincoldiron/2020/09/21/the-feds-days-of-independence-are-numbered/#387fabc71727
https://www.forbes.com/sites/kevincoldiron/2020/09/21/the-feds-days-of-independence-are-numbered/#387fabc71727
Significance of Central Bank Independence
America Needs an Independent Fed
https://www.wsj.com/articles/america-needs-an-independent-fed-11565045308
Keep the Federal Reserve I Love Alive by N. Gregory Mankiw [Harvard economist and well-known textbook author]
https://www.nytimes.com/2019/04/11/business/mankiw-moore-cain-federal-reserve.htmlThe Economist on the importance of Central Bank Independence
https://www.economist.com/finance-and-economics/2019/04/13/how-not-to-weaken-central-banks-independence
What’s at Risk if the Fed Becomes as Partisan as the Rest of Washington
Neil Irwin notes:
“No one would argue that the Fed is divorced from politics. It is constantly making decisions that pit the interests of workers against owners of capital, and those of banks against those of consumers. But there is a difference between acknowledging that there are choices that must be informed by political values and putting those political values ahead of what are often highly technical discussions.”
Stephen G. Cecchetti and Kermit L. Schoenholtz note:
Stephen G. Cecchetti and Kermit L. Schoenholtz note:
“An independent central bank is one of the rare free lunches in economics: it can secure low and stable inflation without sacrificing long-run economic growth. But acquiring that free lunch requires that the institution be run by high-caliber technicians who shun short-run political aims, focusing instead on the long-run goals of price stability and maximum sustainable employment. In the same way that we want military commanders, public health officials, and nuclear or transport safety administrators to be apolitical professionals, so should we aim for central bankers with technical expertise that is above partisan politics. History is replete with disasters that resulted from the politicization of such key government functions.
A transparent commitment to legally mandated goals by highly qualified specialists makes a central bank democratically accountable and allows it to earn the credibility it needs to be effective in promoting long-run prosperity. Were a central bank to be filled with political hacks, any formal independence would be meaningless and unsustainable, and we would all be the worse for it.”
Global Threat to Central Bank Independence
https://theconversation.com/why-political-meddling-with-central-banks-is-a-terrible-idea-and-the-federal-reserve-is-no-exception-115353
https://theconversation.com/why-political-meddling-with-central-banks-is-a-terrible-idea-and-the-federal-reserve-is-no-exception-115353
Central Bank Independence - The Case of the Federal Reserve
Central Bank Independence Matters