Editorial Board
Don’t Make the Fed’s Job Any Harder
Tackling racial injustice is a task for Congress, not the central bank.
Testing times.
Photographer: Andrew Harrer/Bloomberg via Getty Images
Democrats in Congress have introduced legislation to extend the Federal Reserve’s mandate and require the central bank to address racial injustice. So long as Republicans have a Senate majority, the measure is unlikely to pass — but that arithmetic might change next year.
Does it make sense to instruct the Fed to “exercise all duties and functions in a manner that fosters the elimination of disparities across racial and ethnic groups with respect to employment, income, wealth, and access to affordable credit,” as the new bill proposes?