Tags: us | economy | bernanke | fed | press | conference

Fed Embarks on New Glasnost Style of Openness

Monday, 25 Apr 2011 08:29 AM

Federal Reserve Chairman Ben Bernanke will shed some light on the central bank's inner workings this week when he sits down at a press conference to take questions after a quarterly monetary policy meeting.

It's the first time a Fed chairman has done such a thing, and it's also part of the Fed's new policy of greater transparency, a monetary Glasnost if you will.

"You can argue that the chairman of the Fed is more important than the president of the United States, but very few Americans understand what the Fed does," says Sen. Bernie Sanders, a Vermont independent who successfully pushed for the Fed to disclose more about its secretive bank lending, according to the Wall Street Journal.

bernanke200.jpg
Ben Bernanke
(Getty photo)
Addressing the press, Sanders says, will be "a step forward."

In the past, details from Fed policy meetings came to the public via meeting minutes, which were published after the quarterly meetings.
Governors afterwards would drop comments to the public via regulator speeches they make across the county.

That'll change when Bernanke takes direct questions from the press and address internal disagreements over the direction of monetary policy, from interest rates to the Fed's current $600 billion bond buyback program designed to fuel economic growth.

The Fed will also be more transparent and shed its image as one that controls the world's economy behind closed doors.

The sessions will also give the Fed a chance to show itself as accountable to the public and do away with its image as an institution that controls the global economy from behind closed doors.

"I think they wanted to be a little less temple-like," says Michael Feroli, a former Fed economist now with JPMorgan, according to Reuters.

© 2017 Newsmax Finance. All rights reserved.

 
1Like our page
2Share
StreetTalk
Federal Reserve Chairman Ben Bernanke will shed some light on the central bank's inner workings this week when he sits down at a press conference to take questions after a quarterly monetary policy meeting. It's the first time a Fed chairman has done such a thing, and it's...
us,economy,bernanke,fed,press,conference
287
2011-29-25
Monday, 25 Apr 2011 08:29 AM
Newsmax Inc.
 

Newsmax, Moneynews, Newsmax Health, and Independent. American. are registered trademarks of Newsmax Media, Inc. Newsmax TV, and Newsmax World are trademarks of Newsmax Media, Inc.

NEWSMAX.COM
MONEYNEWS.COM
© Newsmax Media, Inc.
All Rights Reserved