On the menu: Grilled Yellen

Senator Rand Paul has announced that he plans to "grill" Janet Yellen in her confirmation hearing as President Obama's nominee for the next chairman of the Federal Reserve. Currently serving as vice chairman of the Federal Reserve, Yellen is, in the words of Matt Nesto of Yahoo Finance, "known for her staunch support of the controversial easy money policies that have dominated Bernanke's two terms as Fed chief." Her confirmation hearing will, in other words, become an opportunity to examine the failure of the Fed's vast increase in the nation's money supply to spark economic growth, which has lagged behind all other recoveries from recessions since good data has been available.  In Senator Paul's view: The Federal Reserve might be the most secretive institution in our history. For decades, Fed officials, politicians and various "experts" have insisted that such secrecy was integral to its independence, and therefore effectiveness. But during Bernanke's two terms we have seen...(Read Full Post)