Fed Would Focus Solely on Prices Under Bill Proposed by Brady

Representative Kevin Brady, the top Republican on the Joint Economic Committee, will introduce legislation March 8 that would narrow the Federal Reserve’s focus to price stability and eliminate its full-employment mandate.

“The Federal Reserve’s monetary experimentation of the last decade must end,” the Texas lawmaker said in remarks prepared for delivery today in Washington. “Congress should give the Federal Reserve a single mandate for price stability, and the Federal Reserve should return to a rules-based system of inflation targeting to achieve that mandate.”