Due to the trade and federal deficits, poor monetary policy, and a lack of regulatory oversight, America finds itself in a period of negative growth, net job loss, and declining investment. For many years, the Federal Reserve ignored its mandate.

Its focus on creating new mechanisms to ensure liquidity to irresponsible banks and lenders has ensured artificially low interest rates which will eventually lead to higher inflation. The flood of dollars to overseas investors has virtually guaranteed that the Federal Reserve will have a decreasing ability to fulfill its mandate of balancing inflation with job growth.

Additionally, the Federal Reserve has been charged with the oversight of investment and lending in America. Now that another asset bubble has burst some in Congress are calling for a realignment of many of the government oversight agencies including the Federal Reserve and the SEC. I support the independence of the Federal Reserve and the full funding of the other agencies along with aggressive Congressional oversight that will force these agencies to do their job under existing law.