U.S. Senators Criticize Work Bernanke as Chairman FED during hearings, dedicated to his approval for a second term
At the hearing, dedicated to the appointment Ben Bernanke for a second term, US Senators sorted out the history of his work as chairman of the Federal Reserve System in detail. Senate, probably, approve Mr. Bernanke for a second term, but to do this, he needs to dial the minimum (compared to all Fed chairmen, least, for the latest 30 years) number of votes in their favor. Senator Jim Banning, who opposed Bernanke's appointment as head of the Fed four years ago, called it «a moral hazard» And «Loser» for that, that he allowed the banks, regulated by the Central Bank, generate a global financial crisis. «I'll do my best, to interfere with the appointment and delay the process as much as possible», – Stated by Mr. Banning at a hearing before the Senate Banking Committee. Senator Richard Shelby named the work FED «Terrible». FED And, to a lesser extent, Bernanke himself became the object of public outrage, related to the support of banks on Wall Street, which continue to thrive, while ordinary Americans have lost their jobs and homes.
Mr Bernanke Recognized, what «Job FED wasn't perfect», but at the same time noted, that so far FED helped the world overcome the recession, other regulators performed even worse., which is partly caused by an inefficient system of banking regulation. In August, President Obama proposed keeping Mr. Bernanke as chairman. FED for a second term, after 31 His term of office will expire in January. The appointment of the 55-year-old former Princeton University faculty member is due to be confirmed by the Senate Banking Committee., and then the entire Senate. Reappointment is likely, but this time it won't go so smoothly, especially after that, as a senator Bernie Sanders blocked voting. It means, what is now to Mr. Bernanke you need to get approval 60 Senators, otherwise, reappointment would be sufficient 51 Voice – simple majority votes. Senator Sanders could stretch the debate over Bernanke's reappointment until next spring.
Paul Walker holds the title of least popular chairman Federal Reserve System, remaining for a second term. IN 1983 G. his reappointment was opposed 16 Senators. Apparently, Bernanke set a new record. For all five reassignments Alan Greenspan more than seven senators never voted against him., although now they say, that it was his actions that contributed to the origin of the financial crisis. At the hearing, Mr. Bernanke fought not only for his future., but also for power, of which it is endowed with FED. Senator Christopher Dodd, Chairman of the Senate Banking Committee, introduced a bill, which deprives FED banking regulation powers, reserving to it the right to control monetary policy. Meanwhile, the House of Representatives is considering a bill, according to which the Fed must undergo audits by the Fiscal Office. Mr. Bernanke believed that, that these checks would make the central bank vulnerable to accusations that, that its monetary policy decisions are dependent on Congress. He insisted., what's in the past Federal Reserve System could not properly study systematic risks, because many parts of the market were not among the objects regulated by it. «We need a structure, so we look at the system as a whole», – Mr. Bernanke.
Based on materials The Times online
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