Frank Tries to Cut Regional Fed Presidents From Rate Votes
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U.S. Representative Barney Frank, the senior Democrat on the House Financial Services Committee, is pushing to remove the power regional Federal Reserve Bank presidents have to weigh in on interest-rate decisions.
Frank, a Massachusetts Democrat, introduced legislation today that would cut the five rotating regional representatives from the 12-member Federal Open Market Committee. Eliminating the 12 regional presidents, who are selected by board members of their banks and approved by the Fed’s governors, will make interest-rate votes more democratic, Frank said in a statement.