Abolish

It's spelled ABOLISH!

No, that's not a cheer at some weekend Fall football game. It's an action that devoutly needs to be done.

Here you have another academic economist-bureaucrat flapping his forked tongue with scare tactics. That's what these people do best when their private reserves get scrutinized, try to scare people into continuing what is a failed process and in this case miserably failed institution. We say forked tongue because he tells us it's good for us. It isn't. It's good for the elites and their gaggle of academic, useful shills.

The truth is the central bank could disappear tomorrow and except for the initial shock any change usually begets, nothing terrible would happen. In fact, we just might see the return of real, sound money that the Federal Reserve and it apologists have so horribly destroyed over the years.They controlled inflation so well this time that the  people who got screwed by these central bank  bureaucrats paid dearly with a huge drop in their standard of existence. We say existence because for these people that's all it's been. And these geniuses knew that going in. 

Narayana Kocherlakota is a Bloomberg View columnist. He is a professor of economics at the University of Rochester and was president of the Federal Reserve Bank of Minneapolis from 2009 to 2015. He's a Bloomberg columnist. Do yo need to know any more? Independence is a misnomer. Abolishing is a far better option.
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Research has documented that central banks around the world have been better able to control inflation if they enjoy independence from elected officials. The election of Donald Trump seems like a good time to remind ourselves that, historically, the executive branch has presented the greatest threat to the independence of the U.S. Federal Reserve.

Since its founding in 1913, the Fed has experienced two big failures of independence. The first occurred during World War II and its aftermath, when the central bank held long-term interest rates down to allow the government to borrow cheaply. Inflation soared to nearly 10 percent during the early days of the Korean War, until the arrangement ended with the so-called Fed-Treasury accord in 1951.

The second failure occurred in the latter half of the 1960s and the 1970s. Presidents Lyndon Johnson and Richard Nixon put (largely covert) pressure on Fed chairs William McChesney Martin and Arthur Burns to provide monetary stimulus to keep unemployment low and generate more popular support for their administrations.  This led, in part, to the so-called Great Inflation of the 1960s and 1970s.

bloomberg.com/view/contributors/APvwpZqjDaA/narayana-kocherlakota