Monday, December 17, 2007

Revised Response to: Should the FED be independent?

In the government there are certain departments that have more freedom than others. The Board of Governors can have a term that goes up to fourteen years which is more than any other section of the government. That gives the members of the Board of Governors the most freedom for any representative in the United States. This brings up the question, if these members have such freedom, should the public vote for the people to represent the Board of Governors?For this freedom to be shifted to the people there will have pros and also have cons. One pro for this is that the public will be in favor of the representatives that are elected. The members that are elected will be chosen because of the public has chosen these people to run this board. This will mean that the public should not attack these representatives or bad mouth them because it is the majority’s decision to have them be a part of the board. Another positive thing about the public voting on who should be representatives is that the public’s confidence will increase because a member of the FED has been elected by the power of the people. This will cause the people to be happy with the government causing demand to increase and quantity to also rise. With all this occurring the economy will rise as a monetary fiscal policy will be put into the systems of the economy.With the positives of the public voting on representatives, there will also be negatives that go along with them. One con about the public voting is that these days, voting numbers are at a record low and the majority of the number that do vote don't put enough time into focusing on who they vote for. With members who are elected from votes that aren't really true can result in the government becoming careless and policies will be made. Another con is that with the election of non qualified representatives, the economy will decrease due to bad policies that will make the U.S. money fall. Policies that are used in the wrong way can result in a bad economy and a recession will follow.

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