At the Federal Open Market Committee (FOCMC) press conference Wednesday, Federal Reserve Chair Janet Yellen was asked her thoughts on the “Audit The Fed” bill, which she says may not be necessary. The bill, which has resurfaced in the headlines, looks to have Congress have a bigger role in reviewing the Fed’s structure as well as its policies. Answering the question, Yellen said she doesn’t see a need for changes to be made. “I believe the Fed is already one of the most transparent central banks of any around the globe,” she said. “I don’t think the system is broken, I think it’s working well,” she added. Although Yellen said that the Fed is prepared to offer Congress any information needed to evaluate the central bank’s decision making, she thinks it might be unwise. “To chain a central bank to follow a simple mathematical rule that fails to take account of many things that are very important in making monetary policy…. That would be a very foolish thing to do, and I oppose it,” she said.
