(FiveNation.com)- Last month the Democrat-controlled House passed the “Federal Reserve Racial and Economic Equity Act” that requires the Fed to carry out its duties in a way that eliminates racial and ethnic “disparities in employment, income, wealth, and access to affordable credit.”
That’s not really the job of the Federal Reserve.
This proposed law would apply to how the Fed conducts monetary policy and regulation of financial institutions.
The bill was introduced in April by Banking Committee Chair, Maxine Waters. It will force the Fed to base its bank rankings on whether a financial institution is providing “diversity and equity” training, has hired a “diversity officer,” and has instituted hiring practices that promote diversity.
The measure also requires the Fed to report to Congress on its progress in implementing this silly law.
Discrimination based on race or ethnic background is already illegal.
But this bill isn’t about preventing discrimination; it’s about engineering outcomes.
The Federal Reserve is supposed to be an independent entity and this level of interference to promote the Democrat Party’s push for “equity and inclusion” intrudes on that independence.
The purpose of the fed is to conduct a monetary policy that will promote economic stability. It isn’t supposed to be manipulating outcomes based on race.
It’s amazing that House Democrats are focusing on this equity garbage at a time when the Fed is predicting that more than a million Americans could lose their jobs in the next year as the economy teeters on the brink of recession and inflation is at a 40-year high.
Way to have their priorities straight.
In an op-ed after the bill was passed, the Wall Street Journal slammed the measure, calling it a “woke mandate” to “politicize monetary policy and financial regulation.”
Sadly, President Biden supports this ridiculous bill. But that isn’t surprising given his administration is prioritizing “diversity, equity, and inclusion” in every government agency.
In May, President Biden wrote an op-ed in the Wall Street Journal vowing not to demean or influence the Federal Reserve. Then again, he’s probably already forgotten that.