The conservative case against auditing the Fed
Noah Glyn points out the main problem with auditing the Fed: if you think Congress has failed with fiscal policy, imagine what they’ll do with monetary policy:
The idea of having Congress take a stronger position on monetary policy might be appealing to conservatives who trust Paul Ryan or Ron Paul more than they trust Ben Bernanke, but there are no permanent congressional majorities. It is not difficult to imagine the mess they would make should the Barney Franks, Chris Dodds, and Maxine Waterses of the world be given a whip hand over monetary policy. Short-term, election-driven political considerations have a pronounced tendency to distort economic policy: Consider that the millennial housing bubble was in no small part a creation of public policy.
