Ron Paul’s Fed audit idea: Are there any economists in favor?

August 4, 2009

I have taken a lot of heat about my coverage of Ron Paul’s idea to audit the Federal Reserve.  I would love to do a piece on economists in favor of the bill. So I am looking for names.  Now these have to be professional economists, people making a living from teaching or consulting. No self-taugt experts. Please leave names in the comment section below. And here is a bit from the good doctor himself on his bill:

The big guns have lined up against HR 1207, the bill to audit the Federal Reserve. What is it that they are so concerned about? What information are they hiding from the American people? The screed is: transparency is okay except for those things they don’t want to be transparent.

Federal Reserve Chairman Ben Bernanke, argues that HR 1207, the legislation to audit the Federal Reserve, would politicize monetary policy. He claims that monetary policy must remain independent, that is; secret. He ignores history because chairmen of the Federal Reserve in the past, especially when up for reappointment, do their best to accommodate the president with politically driven low interest rates and a bubble economy.

Bernanke argues that the knowledge that their discussions and decisions will one day be scrutinized will compromise the freedom of the Open Market Committee to pursue sound policy. If it is sound and honest and serves no special interest, what’s the problem?

He claims that HR 1207 would give power to Congress to affect monetary policy. He dreamt this up to instill fear, an old statist trick to justify government power. HR 1207 does nothing of the sort. He suggested that the day after an FOMC meeting, Congress could send in the GAO to demand an audit of everything said and done. This is hardly the case. The FOMC function under HR 1207 would not change.

The detailed transcripts of the FOMC meetings are released every 5 years, so why would this be so different and what is it that they don’t want the American people to know? Is there something about the transcripts that need to be kept secret, or are the transcripts actually not verbatim?

Fed sycophants argue that an audit would destroy the financial markets’ faith in the Fed. They say this in the midst of the greatest financial crisis in history brought on by none other than the Federal Reserve. In fact, Chairman Bernanke stated on November 14th 2007, “A considerable amount of evidence indicates that Central Bank transparency increases the effectiveness of monetary policy and enhances economic and financial performance”.

They also argue that an audit would hurt the value of the U.S. dollar. In fact, the Fed, in less than a 100 years of its existence, has reduced the value of the 1914 dollar by 96%.

They claim HR 1207 would raise interest rates. How could it? The Fed sets interest rates and the bill doesn’t interfere with monetary policy. Congress would have no say in the matter and besides, Congress likes low interest rates.

It is argued that the Fed wouldn’t be free to raise interest rates if they thought it necessary. But Bernanke has already assured the Congress that rates are going to stay low for the foreseeable future. And again, this bill does nothing to allow Congress to interfere with interest rate setting.

Fed supporters claim that they want to protect the public’s interest with their secrecy. But the banks and Wall Streets are the opponents of HR 1207, and the people are for it. Just who best represents the public’s interest?

The real question is: why are Wall Street and the Fed so hysterically opposed to HR 1207? Just what information are they so anxious to keep secret? Only an audit of the Federal Reserve will answer these questions.

118 comments

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Don’t know any economists. All I know is that the welfare/warfare state would be impossible without the Fed. Thanks for ruining the country central bank and politicians. Great job.

Posted by Dave | Report as abusive

Why are we still discussing this, Ron Paul’s speech that’s posted above basically squashes any of the anti-1207 propaganda with ease and then some. No need to bring in any more “economists” or “experts” to discuss this it’s a simple audit of the Federal Reserve, this isn’t rocket science.

Posted by brody | Report as abusive

LOL@ “Professional economists”Do you mean the ones who didn’t see the bubble forming nor bursting? The ones from the Keynesian school of economics=Hokus pokus economics?Please, you are insulting our intelligence.You are putting yourself in the hot seat by defeding a corrupt institution that plunged our economy into this recession/depression and is working hard to destroy the dollar and create inflation.75% of the american people want a fed audit, period.We are fed up listening to those “Professional economists” who kept telling us we should keep borrowing, spending, buying stocks …. fed up of the ill advices of the talking heads and the likes who have no clue about what’s going on, FED UP.If you are serious about getting the opinion of those real economists who foresaw and warned us about the current crisis, other than Dr. Paul, please start we the following “Real economists:Peter SchiffJim RogersNouriel RoubiniPssss. the scholars of the Austrian economics didn’t just forsaw the crisis and predicted it acuratly, they even have real solutions not like those “Professional economists” who want to solve the problem by doing the same thing that caused this mess in the first place: SPENDING AND BOROWING!

Posted by James | Report as abusive

I guess that the vast majority of economics in this list would be in favor of HR1207:http://www.cato.org/special/stimu lus09/alternate_version.htmlIn fact any non-Keynesian economist would do, and even some famous Keynesian economics such as Dean Baker are in favor of HR1207, see here: http://www.youtube.com/watch?v=k2qMaVPme -Q

Posted by nim | Report as abusive

Jim Rogers and Peter Schiff have been speaking out against the Fed on national TV for years. David Friedman, Milton’s son, teaches economics and has spoken out against the Fed. All the economists who work at http://www.inflation.us and for the Von Mises institute have been making videos you can find on the internet about this.. I have attended and watched lectures by Charles W Baird who was a professor of economics at both UCLA and CSUEB supports this idea. Murray Rothbard, key Austrian economist, wrote a book years ago about the Fed. Are any of these names “professional” enough for you?? These are just a few names that came to the top of my head when I saw this article, out of a very long list of professionals who have been speaking out against the Fed since before Greenspan or even Volker for that matter.

Posted by Liberty_Mike | Report as abusive

Ron Paul is one of the great economists of our times, and he supports the audit.Scott

Thomas WoodsPeter SchiffJim RogersNouriel RoubiniRobert HiggsDouglas FrenchRobert MurphyWalter WilliamsWalter BlockThat’s just a few off of the top of my head. All of whom, mind you, were predicting this economic downturn. At the same time, the “pro-Fed” economists, including the chairman, Ben Bernanke himself were telling us that the economy was sound and the fundamentals were just fine. That brings up the question of whether Bernanke and friends are/were lying to the public, or just incompetent. Pick your poison.There is no doubt that the central economic planning of the Federal Reserve system is at the very root of our economic problems.

Posted by Mike | Report as abusive

Let’s pidgeon-hole everyone. Ron Paul is a doctor, therefore he cannot also be an economist. We should take this one step further and find out everyone’s talents when they are very young, and strategically place all those people in schooling and professions that will best serve the state.Why is everyone listening to Ron Paul when there are so many university-trained economists out there? I’m so frustrated!

Posted by David Sullivan | Report as abusive

I also believe the late great Milton Friedman would grant his approval for an audit. Maybe we should check with Anna Schwartz.

Posted by Mike | Report as abusive

Mr. Pethokoukis,I’m glad you’ve decided to follow up on your previous column regarding auditing the Federal Reserve, which was profoundly misguided. My top recommendation would be to go to http://www.mises.org (see especially http://mises.org/faculty.aspx) and/or http://www.lewrockwell.com, where you will find a number of fully credentialed and currently teaching economists who have written and are writing eloquently about the destructive nature of central banking in general and the Federal Reserve in particular.Here’s even a recent piece in the Christtian Science Monitor from economist George Selgin, a University of Georgia prof, endorsing Audit the Fed:http://www.csmonitor.com/2009/0803/p 09s01-coop.htmlI hope this helps!

I am a Chicago Econ PhD. Can’t reveal any more information because my tenure could be at stake. Hopefully, you will judge my remark based on the content.First of all, I think there is a quite a bit of confusion as to how the price system works. This is not only an issue with undergraduates in Microeconomics, but also policy-makers, politicians and clearly economic journalists. Free market economists believe that prices established without distortion reveal preferences about agents in the economy. Prices with distortion will also reveal the same but then you have to disentangle how much of it is from distortion and how much from actual preferences.Conducting monetary policy in secret is a huge distortion. The market should not have to guess what the Fed is upto. That cost could simply be eliminated if prices (i.e. interest rate) is established in the free market without interference from the Fed. Look at the yield curve. The right side of the yield curve is primarily established by the market and it is significantly more stable than the left end where the Fed has a lot of monopoly power. The right end may shift up or down (a result of the Fed’s shifting the level), but it is lot less volatile than the short end of the yield curve.We simply do not need the Fed. Now, if I don’t make tenure and have to get a cushy Fed job, I may sing a different tune. From an impartial point of view, the Fed creates unnecessary distortions in the capital market which we don’t need.

Posted by DH | Report as abusive

I don’t think it takes an economist to understand that adding more transparency to the Federal Reserve will help preserve honesty and integrity with our money supply. Sorry James, but simply having economist after economist telling us that faith in the FED is more important than the truth and disclosure that we as citizens are all accountable for will just not cut it this time.

Posted by Jeremy | Report as abusive

How about Thomas Jefferson and our founding fathers who warned us against central banks and paper money?

Posted by Muhammed Sulfi | Report as abusive

A real economist understands how to create real wealth that can be traded for money. Many economists simply teach or talk about economic theory, that the Englishman Lord John Maynard Keynes taught.However,Ron Paul,Peter Schiff,Lou Rockwell,James Turk,And my college professor, Rex Frank are all free market Mises economistsMost people now realize that I.O.U. notes { Federal Reserve Notes }can never be substituted for real wealth.It’s that simple.

Posted by Ron | Report as abusive

sounds like you’re getting exactly what you asked for, James. I hope by tomorrow we’ve got an entry from you presenting the opinions of the noted economists recommended above as to why increased transparency and even abolition of the Fed may be good for the economy.

Milton Friedman died 3 years ago, but he was opposed to the Fed’s very existance. Why then would it not be rational to assume he would have supported an audit of it? Or are Nobel prize-winning economists and their views not important enough to consider?http://en.wikipedia.org/wiki/Mi lton_Friedman

Posted by BD | Report as abusive

George Selgin, Univ. of GeorgiaPeter Boettke, George Mason U.Thomas DiLorenzo, Loyala University in BaltimoreRoger Garrison, Auburn UniversityGeorge Reisman, Pepperdine UniversityThere are many, many more. These are off the top of my head. mises.org is devoted to ending the Fed and has many economists under their umbrella.

Posted by Nick | Report as abusive

My major was math but I’ve taken several upper-divisions economic classes. Looking back on it, they do teach you a lot of sound things but they also teach a lot of nonsense: Keynesianism’s only practical merits seem to be giving politicians cover to do favors for special interests and making economists a lot more relevant.In financial economics I was taught specifically that the more “independence” a country’s central bank had the better the country’s financial health tended to be. But now this strikes me as nonsense as well. Most mainstream Keynesian economists (if they had an opinion) would probably be against HR 1207. But economists are notorious for not agreeing unanimously on issues so I’m sure you could find some of them who are all for it.But seems to me that this is a question of ethics and justice more than economics. It always has been. If Bernanke has given trillions to his crooked banker friends, then it is paramount that a society which values justice to find out through legal means and prosecute them.BTW, if Congress is unfit to be allowed to affect monetary policy, then why the hell are they fit to run health care?

Posted by Michael M | Report as abusive

Economists to solicit who are in favor of HR1207:1) Ron Paul – he is the most competent politician on the topic, so perhaps your search for an economist should start with him directly. He can trace economic developments in America back to our founding, speaks clearly and passionately, and is a nice guy, too. I’m certain he is more knowledgeable about the economy than most economists.2) Peter Schiff – I saw him on some news shows and he is very articulate and persuasive in his support of HR1207.3) Did I already suggest Ron Paul?

Posted by ChrisCZ | Report as abusive

Quite the propagandist aren’t we James, little scumbag. Your losing buddy no one believes you or the MSM anymore, nobody has for a while and that’s me putting it lightly bud. You need to think about what your doing James, you need to think about real integrity and journalism something that you and the rest of the MSM need to think long and hard about. More and more people are becoming familiar with the federal reserve and the whole fractional reserve central banking system James and the more they learn the more likely its really gonna piss them off!!

Posted by Max | Report as abusive

Wow, the propaganda machine is really going into high gear. As one with an advanced degree, I will be the first to tell anyone that common sense is often the first victim of our educational system’s indoctrination. Economics is not difficult to understand on the Macro level. One need only to think for themselves to a very small degree to see that the FED is self destructive and will take our country down with it. I must conclude that this, (our destruction), must be their intent. No one I know believes that the FED has our countries best interest at heart. Being a Privately owned company necessarily proves that it dose not.

Posted by Tim Galien | Report as abusive

Oh… James, looking for “professional economists” who will substantiate your lemminghood.Looking for “professionals” coming from a scribe… Irony of ironies. One would seek the advice of professionals when one does not exercise one’s own human curiosity, in the Age of InternetS and google to seek out “alternative theories,” since you’re so keen on dismissing them, if nothing else but to in fact WIN the debate, against your detractors, as it were… reeks of “journalistic” indolence.When will you people learn, kissing asses of oligarchs does not make you part of the Ruling Class. In fact, they HATE kiss assess, just ask the idiots who followed their fate on the Night of the Long Knives.You honestly believe the Federal Reserve is there to protect the value of the dollar of the general American Populace, whom you seem to exclude yourself from? Kiddo you’re gonna need to wake up a bit. I know you think you’re doing your bit to keep the con going. But just ask Bernie Madoff, hey, he was a “professional” who if not indicted, would agree with you. How else do you think he got away doing what he did, if the PRIVATE FEDERAL as FedEx, FedReserve were not in collusion with extensive backroom dealings with other private banks and central govt.You people delude you’re still in 19th Century. You have no idea just how much the PEOPLE know what the hell is going on. Your Ponzi schemes are up.By the way, do you even know how the FED actually creates Notes?? Do you even know the difference between what a “notes,” currency, and money is?Right, you’re just a scribe, a repeater of info, why don’t you ask one of your “professionals” for help. I’ll bet they can offer you a discount on the Madoff plan.You guys are SOOOO pathetic. Sign of desperation is everywhere. YOU ARE GOING TO BE AUDITED, ya criminal goons. Unlike 1980′s, you’re NOT gonna have it your way. Even in the age of American Idol, people are hip to your CON.Keep scribing, pal. Oligarchy will go the way of dinosaurs. We’re gonna get our OLD Constitutional Republic back.-cheers, mate.PS. I’d recommend you watch Animal House and repeat the scene, “Thank you, sir! May I have another!” Because that’s who you remind me of.

Posted by Sic Semper Tyrannis | Report as abusive

Hans-Hermann Hoppe, Professor Emeritus at UNLV would be in favor of HR 1207.

Posted by John | Report as abusive

To everyone saying Milton Friedman, you should recommend his son, David Friedman. David currently teaches law and economics at Santa Clara University in California.

Posted by Mike | Report as abusive

[...] Posted by kstigs That Reuters article is ridiculous. Screw James Pethokoukis. Check it out: Ron Paul’s Fed Audit Idea; Are there any economists in favor? [...]

You deserved the heat you received for your previous articles on HR 1207, but I thank you for now including Ron Paul’s side of the story.I hope, now that people have helpfully supplied names of likely HR 1207 proponents, you will do a piece on economists in favor of the bill.

Posted by yoikes | Report as abusive

I just graduated with a degree in economics form Auburn University and was lucky enough to have Roger Garrison as my Macroeconomics teacher. I was taking his class when all of the problems with the economy started to come true. It was amazing to listen to his lectures that go home and turn on the TV/Internet and see/hear all of the problems we were talking about in class. His lectures made me so interested in Austrian Economics that I have read several books by Mises, Hayek, Menger, and Böhm-Bawerk. I am so glad that I learned Austrian Economics.Also any one that works with the Mises Institute in Auburn, Alabama would at least support an audit of the FED, most just getting rid of it.www.mises.org

Posted by Richard | Report as abusive

*********Are there any professional Mafiosos out there who support the belief that law enforcement should be beefed up? Now these have to be professional Mafiosos who racketeer for a living. No self-taught experts.

Posted by Larry | Report as abusive

“Whosoever controls the volume of money in any country is absolute master of all industry and commerce. And when you realize that the entire system is very easily controlled, one way or another, by a few powerful men at the top, you will not have to be told how periods of inflation and depression originate.” – James A. Garfield”It is well enough that people of the nation do not understand our banking and monetary system, for if they did, I believe there would be a revolution before tomorrow morning.” – Henry Fordsee more great qoutes herehttp://www.trueworldhistory.info/

Posted by Adam | Report as abusive

Ron Paul is like a house fly to Ben Bernake. He his a nuisance but that is about it. This bill probably won’t even come to a vote.

Posted by Todd | Report as abusive

unfortunatly James, your missing the point. Economists do not run the country, we do not live in a democrasy, your point is moot

Posted by bob barker | Report as abusive

if I had to give you one name it would be Dr. James Galbraith otherwisetake your pick here …http://mises.org/my guess is any Austrian SChool Economist will favor an audit …orPaul Craig RobertsHe served as an Assistant Secretary of the Treasury in the Reagan Administration.Marc Faber was born in Zurich and schooled in Geneva, Switzerland. He studied Economics at the University of Zurich and, at the age of 24, obtained a Ph.D. degree in EconomicsI am drawing a blank on the gentleman who spoke before congress regarding an aduit of the fed …I guess this guy does not count …James Beeland Rogers, Jr. (born October 19, 1942) is an expatriate American investor and financial commentator based in Singapore. He was a co-founder, along with George Soros, of the Quantum Fund, and is a college professor, author, world traveler, economic commentator, and creator of the Rogers International Commodities Index (RICI).Catherine Austin Fitts served as managing director and member of the board of directors of the Wall Street investment bank Dillon, Read & Co. Inc., as Assistant Secretary of Housing and Federal Housing Commissioner at the United States Department of Housing and Urban Development in the first Bush Administration, and was the president of Hamilton Securities Group, Inc., an investment bank and financial software developer. She is now the president of Solari, Inc., and managing member of Solari Investment Advisory Services, LLC.has a BA from the University of Pennsylvania, an MBA from the Wharton School and studied Mandarin at the Chinese University of Hong Kong.David M. Walker (born 1951) served as United States Comptroller General from 1998 to 2008, and is now the President and CEO of The Peter G. Peterson Foundation.Dennis Gartman editor of The Gartman LetterGerald Spencerhttp://www.spencerae.com/offshore .htmMid South Bank President and CEO R.J. “Rusty” ClouthierPeter Schiff is a supporter of the Austrian School of Economics and the Ludwig von Mises Institute[4], and was an economic adviser for Ron Paul’s campaign in the 2008 Republican Party primariesMurray Newton Rothbard (March 2, 1926 – January 7, 1995)

Posted by TILT | Report as abusive

First off, I sense that asking us to submit an “Appeal to Authority” (a logical fallacy) is asking us to be setup for failure and put us on the defensive. Either you are asking for experts names in support of HR1207 to pigeonhole and slander their professional opinions by attacking them personally, or you actually want to read what is out there for what they have to say (along with your own common sense) and form a logical conclusion, I hope it is the latter.

Posted by Jay_C | Report as abusive

“This is a staggering thought. We are completely dependent on the commercial Banks. Someone has to borrow every dollar we have in circulation, cash or credit. If the Banks create ample synthetic money we are prosperous; if not, we starve. We are absolutely without a permanent money system. When one gets a complete grasp of the picture, the tragic absurdity of our hopeless position is almost incredible, but there it is. It is the most important subject intelligent persons can investigate and reflect upon. It is so important that our present civilization may collapse unless it becomes widely understood and the defects remedied very soon.” – Robert Hemphill”It [the depression] was not accidental. It was a carefully contrived occurrence worked out as one works out a mathematical equation. The international bankers sought to bring about a condition of despair here so that they might emerge as the rulers of us all.” – Louis T. McFadden”The Federal Reserve definitely caused the Great Depression by contracting the amount of currency in circulation by one-third from 1929 to 1933.” – Milton Friedman”Whosoever controls the volume of money in any country is absolute master of all industry and commerce. And when you realize that the entire system is very easily controlled, one way or another, by a few powerful men at the top, you will not have to be told how periods of inflation and depression originate.” – James A. Garfield”Most Americans have no real understanding of the operation of the international money lenders. The accounts of the Federal Reserve System have never been audited. It operates outside the control of Congress and manipulates the credit of the United States.” – Barry Goldwater”If the American people ever allow private banks to control the issue of their currency, first by inflation then by deflation, the banks and the corporations that will grow up around them, will deprive the people of all property until their children wake up homeless on the continent their fathers conquered.” – Thomas Jefferson”I believe that banking institutions are more dangerous to our liberties than standing armies. Already they have raised up a monied aristocracy that has set the government at defiance. The issuing power (of money) should be taken away from the banks and restored to the people to whom it properly belongs.” – Thomas Jefferson”It is well enough that people of the nation do not understand our banking and monetary system, for if they did, I believe there would be a revolution before tomorrow morning.” – Henry Ford

Posted by Adam | Report as abusive

Sure, I am a Professor of Economics at the University of Texas at San Antonio. Here is what I wrote my colleagues about supporting the idea that the Fed should not reveal what it buys (or holds as collateral for loads, I should add as that is a very large component).Dear Colleagues,At the Economists’ Dinner at the Fed, this year, we were told that the Fed is currently operating under an emergency powers provision in which the Treasury in effect has a seat at the Fed table. Bernanke signed off on Paulson’s decision to funnel what was initially tens of billions of dollars into AIG and on through to, among others, Goldman Sachs. The Goldman Sachs CEO was also in on that discussion, and reportedly said Goldman risked bankruptscy without that funding. Well, Goldman did not go bankrupt, has since achieved record earnings, and has personalized about half of those earnings into promised bonuses and other personalized pay. For its part, the Fed has been buying trillions of dollars, trillions with a T, of nonstandard securities. Is it buying or holding as collateral junk from Goldman Sachs at an above-market price? What all told has it gotten? The Fed will not tell, despite a lawsuit from Bloomburg to reveal.My point is the Fed is not currently independent. It is anything but transparent. It is doing things that have tremendous long-lasting consequences for our economy and way of life. This petition appears to ignore all that, and returns to yesteryear’s idea of a wise, impartial group of experts making decisions for our interests in isolation from the executive branch of the government. Think twice before signing this politically charged petition that has been circulated to us.and in a latter emailWe commonly teach that the Board of Governors is assured independence because no single President can ever appoint a majority until that President is on his way out of office from his second term. The reason for this independence is that the seven members of the Board each have a 14-year term, and those terms are staggered to be two years apart. If you teach it that way these days and go no further, though, you would be missing that it is not working out in practice like envisioned in theory.Only two of the current Fed Board members have been appointed to 14-year terms. The other three were each appointed to fill out unexpired terms. In other words, Board members have been increasingly not willing to stick it out for the full fourteen years. That is also evident in that there are currently two unfilled Board seats. If Obama wishes to appoint a Larry Summers/Robert Rubin combo to the Fed, for example, he would be free to do so right away.In short, even in the absence of today’s emergency powers, the staggered 14-year terms are not serving to keep the Fed independent of the Executive branch — Bernanke and Kohn are the only two members of the current Fed with even the possibility to be there 14 years. What’s more, Bernanke’s role as Chair expires this January. While he can be reappointed Chair by Obama, that in turn provides another point of leverage for the Executive branch.FYI, here are the current 5 members of the Board: http://www.federalreserve.gov/aboutthefe d/default.htm

Posted by Robert Collinge | Report as abusive

Economists who favor a Fed Audit…Marc FaberPeter SchiffJim WillieJim SinclairTom Woods

Posted by Rockefeller | Report as abusive

In the last post, please overlook a couple spelling mistakes, such as loans not loads, bankruptcy not bankruptscy. The idea is that the Fed is bandying about so many trillions of dollars that, like it or not, they have gotten into the business of picking winners and losers in our economy, and transferring income as only central planners can. The Fed’s operations have changed from anything economists have been familiar with in the past in terms of what they buy and to whom they grant borrowing privileges. Not all economists are fully current on how matters have changed in the last year. Nor are many economists imagining how the allure of privatizing these Fed trillions seems to have led to private-banking infiltration into what we think of as merely academic Fed decisions. More accountability is needed to maintain integrity in Federal Reserve processes and fairness to the people of our country.

Posted by Robert Collinge | Report as abusive

Oh, and the disclaimer – My posts do no speak for nor necessarily represent the position of my university or the state that funds it. . . . reminded of that by that fellow with the Chicago degree worried about losing tenure.

Posted by Robert Collinge | Report as abusive

Yes, many many economists in favor and alot of the HOuse of Representatives let alone the over-whealming majority of people. One of the wonderful things about Doctor Paul is that economics is his “A” game. This man needs no advisory board or think tank councils to advise him on how to do the right thing. He knows it like the back of his hand. Crazy crazy we wound up with who we did as president especially in these current conditions. Republican voters really really screwed this one up for Americans. I am hopeful he’ll run again.

Posted by jason | Report as abusive

Jason, I think you are right about the numbers. When earlier this year Obama said all economists supported his stimulus policies, the CATO institute put together an ad I signed along with hundreds of other economists asserting our analysis to the contrary. Basically, like Nixon before him, Obama assumed Nixon’s assertion saying “We are all Keynesians now.” Keynesian analysis fell from favor around that time, just as it is doing again, now.James Pethokoukis, you might contact CATO about rounding up economists to support an audit of the Fed. I don’t know if they have taken a position, themselves.

Posted by Robert Collinge | Report as abusive

Hey James!How much do they pay you to LIE TO THE AMERICAN PEOPLE?Look up Council on Foreign Relations sheep!

Hey James!How much do they pay to you LIE to the Amerikan people? (Deliberate spelling).Look up Council on Foreign Relations SHEEP!END THE FED, END THE FED, END THE FED!!!!!

Posted by shansher | Report as abusive

james galbraith

Posted by Jim | Report as abusive

James Pethokoukis, how much are they paying you to write this utter bull$hit? What has made you hate America? End the Fed!

Posted by Jim C | Report as abusive

Seems to me this is becoming a huge issue with everyone I know. And all say “Open the Books Audit the Fed!”Ben Bernake admitted in a speech honoring Milton Friedman – “Let me end my talk by abusing slightly my status as an official representative of the Federal Reserve. I would like to say to Milton and Anna: Regarding the Great Depression. You’re right, we did it. We’re very sorry. But thanks to you, we won’t do it again.” Ben Bernakehttp://www.federalreserve.gov/boa rddocs/speeches/2002/20021108/default.ht m Last paragraph of speech

Posted by Tim | Report as abusive

Walter Williams

Posted by Angela | Report as abusive

Ya……….me. AUDIT THE FED NOW!

Posted by JackassJones | Report as abusive

Infowars.com

Don’t just audit the Fed, END IT!

Posted by joe | Report as abusive

If you think about how widely this petition was circulated and how it does not even directly say to not audit the Fed, it is remarkable that there were only two hundred economists who signed it. That says something in itself.I know I received a couple supportive replies to my email to colleagues, including a couple responses saying “good job” or “very important points” or “Thank you for speaking up.” Nobody sent me any argument against an audit.I’ve posted enough here. So, in closing, I think you will have no problem uncovering what you seek. While economists support a monetary policy independent of direct Congressional control, they do not support that anything and everything goes in what the Fed does when there is not verifiable transparency and accountability. The Fed should not be allowed to emulate the Politburo. I think even many of the petition signers would agree with those statements or words to that effect.

Posted by Robert Collinge | Report as abusive

William K BlackL. Randall WrayJames I. SturgeonDean BakerYves SmithThomas Ferguson

HR 1207 Meets Panicked ResistanceJurriaan MaessenInfowarsAugust 4, 2009As the campaign to audit the Fed is picking up momentum in the halls of Congress, reflective of the majority support by the people, several mainstream media outlets have taken their familiar positions to fulfil the role of compliant corporate lackeys they have become accustomed to. But it is to no avail. The campaign for liberty has clearly grown wings that spread far and wide, outflanking both the left and the right as it ascends to ever greater heights. Whatever happens next, the enemies of liberty will be hard put to it, trying to sprinkle sleeping dust into the eyes of the giant who stretches his arms to meet the dawn.James Pethokoukis.In a recent attempt at discrediting Ron Paul’s bill HR 1207, Reuters columnist James Pethokoukis strings together ludicrous straw men arguments to convince the sheeple that everything is fine so go back to sleep.“Most Americans”, Pethokoukis states, “surely don’t realize that the non-policy aspects of the Fed are already audited by the GAO, nor have they watched the Fed chairman’s twice-a-year testimony, (…), in front of House and Senate committees.”This is a hilarious argument, for the incidental testimonies provided by the Fed boss usually raise more questions than they answer; and besides, the ones demanding a proper audit of the Fed are usually the same ones prone to dissecting its cryptic musings with their hands in their hair. The columnist goes on to claim that both the occasional congressional grilling as well as the minutes published by the Fed provides enough transparency to satisfy critical observers: “Bernanke”, he states, “is clearly not operating in the shadows from some undisclosed location.”You have to love the logic behind his curious little trifle, far exceeding the usual allowance of stupidity. It is no different than claiming someone standing in a shadowy corner of a dark alley at noon is actually standing in the full light of day. As the author moves from fallacy to fallacy, he predictably arrives at his final and most ludicrous position: “The effect on the economy might not be beneficial, either. Even if the result of the Fed bill is only more aggressive congressional questioning and criticism, financial markets might well fear the bank would start taking congressional wishes into account when making policy.”We can’t have that, now can we. According to James Pethokoukis, it will be absolutely detrimental if the people’s representatives in Congress would be able to influence the actions of a private central banking cartel. Telling enough, the author then quotes none other than JPMorgan’s house economist Michael Feroli who was heard to remark that an audit “could immediately push up borrowing costs even if the audits are only a symbolic increasing of congressional oversight of monetary policy.”If the bill, God forbid, should evaporate in the senate, then a great victory will have been achieved nonetheless. A recent Rasmussen poll has showed a staggering 75 percent agreeing with Dr. Paul’s stance on the Federal Reserve. Never before has the pressure been building up against the secretive banking cartel in the current measure, so even the entire effort should fail to reach its conclusion, it will not have been in vain. With more and more light shining upon the Federal Reserve and its secretive operations, and an increasing amount of people realizing that all is not well, the push for liberty will be victorious any way you slice it.

Posted by joe | Report as abusive

The Fort Knox Gold has not been audited in over 50 years.That alone should wake Americans up.

Posted by Ron | Report as abusive

the need for secrecy and the full out effort to avoid an audit and misrepresent the intent of H.R. 1207 is a result of the Central Banks need to perpetuate this confidence game.A crisis of confidence is coming. And with it am implosion of the US dollar. Seems to me when not if.How about an article on competing currencies ? Why is it that we do not have competing currencies in the USA .. let the market decide.

Posted by Jim | Report as abusive

so, 100% agreement that we SHOULD audit the fed?

Posted by Joe | Report as abusive

Gerald O’Driscoll, former VP of the Dallas Fed supports an audit – he talks about it in this video: http://www.youtube.com/watch?v=6TDysQCFx Io

Posted by Evan | Report as abusive

The purpose of auditing the Fed is to see which parties are getting the freshly created money. If a counterfeiter is sending money to various parties, the FBI does not seek advice from economists before tracking down the recipients.There is no economic theory that can shed light on the question of whether some given operation should be audited.

Posted by Jasper | Report as abusive

“No self-taugt(sic) experts”?Yes, because somebody that takes the initiative and time to study a subject on their own could in no way be as much of an expert as somebody that sat in a classroom and had somebody else tell them what to think. My parents taught me that self-study and self-learning was the key to true education, not listening to lectures and passing a multiple-question or true/false test.Would not a better criterion be for it to simply be “experts” employed in the field? Why the need to add this little quip at the end?

Posted by specs | Report as abusive

Hello I’m a biased Reuters reporter, please give me a list of economists that I can forever ignore in any future articles for not supporting our Reuters goal of socialism around the globe.

Posted by Bill Moore | Report as abusive

After reading the above comments, it’s pretty obvious HR1207 should be law. I’ll be contacting my congressmen ASAP.

Posted by James Orleans | Report as abusive

There are many economists who support the audit as shown above, but that doesn’t really matter because 75% of the American people support a Fed audit according to a recent Rasmussen poll.If the lawmakers are representatives of the people then it should be a no-brainer.

Posted by Marc | Report as abusive

There have already been hundreds of economists posted in the commentary in the section, but I’d again like to add Marc Faber.It is so ironic that these noted columnists continue to push information from economists who had no clue what was coming a few years ago, and laugh at those who predicted this mess (derivatives unwinding, housing bubble, etc.)James, I _know_ you have the ability to think for yourself, so please take advantage of it! The public at large is catching on to the game – it’s amazing that those who are more educated are still blind to it.The only people who are against Paul’s bill are those who want to keep the Ponzi scheme going. Those with any values and morality whatsoever know it’s the proper thing to do. Of course we’ll suffer a lot if the audit goes through, but we’ll take the medicine and get thru it. The more we delay, the more pain we’ll endure. We’ve seen that already with this bubble popping, and now they’re just trying to blow it up even more with ever-increasing debt.

Posted by John | Report as abusive

Wow !If James does not get the message from you all, he never will. I am speechless & happy.Good Job everyone !

Posted by Terry Conspiracy | Report as abusive

Peter Schiff and company (many named in previous entries within this comment section) firmly support Ron Paul’s efforts- and what makes the branch of economists who support him impressive is that they are the same people who accurately predicted this economic crisis in the first place. The sort of economists you site have virtually never shown any special predictive capability which demonstrates the validity of their theories; in fact, they were about as dead wrong as conceivably possible with their cheery “economy-is-bullet-proof” refrain right up until the actual economic collapse.Meanwhile, a guy like Peter Schiff was out there actively putting the word out as best he could (the media was quick to marginalize and censor him) that we were headed straight for an economic collapse, and he was accurately predicting that it would start with a housing crisis resulting from artificial interest rates and inflationary monetary policy; see his book “Crash Proof,” about the “coming economic crisis,” which was published in 2007. Note, further, that Ron Paul himself also very precisely predicted the imminent economic maladie we were facing, not least of all when he singled out Fannie Mae and Freddie Mac BY NAME in an address to the House financial committee in September of 2003- see here: http://www.lewrockwell.com/paul/paul128. htmlNow, whose advice should we reasonably follow; the corporate shill economists who told us that left was right and up was down right up until it came back to hit our country in the face last year, or the economists who were giving us the straightforward, hard truth and prescribing ways out of it? It seems to me that Schiff, Paul, Block, etc. have a MUCH better understanding of how our monetary and general economic system functions than do any of the folk the mainstream media canonizes with its magic wand of perceived credibility.

Posted by C. Wendt | Report as abusive

Love all the comments. I am newly active in politics since the elections, and my feeling is that this is the most important legislation pending in our generation. My new hobby is contacting my Congress critters weekly, urging the holdouts to co-sponsor HR1207. I have participated in two End The Fed Marches, including one with Dr. Paul in MN. I urge people who would like to learn more about the Fed to read or listen to E. Griffin. He wrote Creature From Jekyll Island: A Second Look at the Federal Reserve. Jefferson and Jackson both abolished the Central Bank/ or Fed of their day, and they would be rolling in their graves, knowing it came back again in 1913 under shady circumstances in Congress. End the Fed for good this time…Third time’s a charm! Let’s drive a stake in its heart for good measure.

Posted by Debbie | Report as abusive

yes, please interview Robert Higgs! :)

Posted by Prudence Wright | Report as abusive

Bankers are gangsters. The present economic situation is a consequence of the looting of America.

Posted by althusius | Report as abusive

all you pualtards are freaking hysterical. Well James it looks like there all coming out of the wood work and out of there moms basements to. you people dont know anyhting about ecanomics and your fake lists of ‘ecanomists’ is freaking stupid . if theres any ‘ecanomist’ who supports paul then they are not even worth calling an ‘ecanomist.’ any EDUCATED person (NOT selftaught as James said) would tell you that editing the fed is a dumb idea. hes saying to tell him any ecanomist that is in favor of it and all you people can do is list selftaught gold wackos. do you know what would happen if we got wrid of our cenrtal bank! i cant even beleive you guy s are aloud to breath! go some where else do to your ranting. tell em James!

Posted by Dan Phillips | Report as abusive

@Dan PhillipsWow, your post was illuminating. Please do share more so that we may bask in your intelligence.

Posted by ChrisCZ | Report as abusive

“all you pualtards are freaking hysterical. Well James it looks like there all coming out of the wood work and out of there moms basements to. you people dont know anyhting about ecanomics and your fake lists of ‘ecanomists’ is freaking stupid . if theres any ‘ecanomist’ who supports paul then they are not even worth calling an ‘ecanomist.’ any EDUCATED person (NOT selftaught as James said) would tell you that editing the fed is a dumb idea. hes saying to tell him any ecanomist that is in favor of it and all you people can do is list selftaught gold wackos. do you know what would happen if we got wrid of our cenrtal bank! i cant even beleive you guy s are aloud to breath! go some where else do to your ranting. tell em James!”Wow this is the strongest argument for auditing the FED. The only people against it can’t even spell. We want to AUDIT the FED not EDIT. They are ECONOMISTS not ECANOMITS.What you just said is one of the most insanely idiotic things I’ve ever heard. At no point were you even close to anything that could be considered a rational thought. Everyone in this room is now dumber for having listened to it.

Posted by Chris | Report as abusive

wow, Dan. For an EDUCATED man, you sprinkled your comments with so many spelling, grammatical, and punctuation errors, I nearly lost my “breathe”Yes, “there” coming out of “there” mom’s basements, even though they don’t know much about “anyhting”, they “beleive” we should ultimately get “wrid” of the Fed. At the moment, they are just asking that the GAO to be “aloud” to fully “edit” the “cenrtal” bank. Why is that asking “to” much?Please Dan, tell us in your humble, not self taught opinion, what you think would happen if we got “wrid” of the Fed! Look forward to your post….

Posted by Debbie | Report as abusive

Dear Mr. Pethokoukis,I applaud your efforts to present the views from economists who understand economics. It is sad to see so much vitriol directed against your attempt. I suspect it is due to comments you have written in other pieces. However, I think it is only fair to take your request as respectful and curious.So far, I think you have a wonderful list of names interspersed with the unhelpful ad hominem attacks against you.One name I would very much like to see interviewed would be Lew Rockwell himself. He is very well spoken, easy to understand, and lays out his arguments in an easy to follow manner. May I suggest you find some of his podcasts and have a listen?May I also suggest that you pick up and read “What has government done to our money?” by Murray Rothbard. It is short. I promise. But it really lays out the reality behind all of the myths. At least that is my view, you may see it differently. I don’t think you can properly interview people on a topic until you understand their viewpoint. That book will give you a terrific basis as a start to understanding why the Fed is a problem.Rothbard also wrote a very tiny book called the “Case against the Fed”. That should also help illuminate.If you want more names:Walter Block Loyola Univ.Jefferey Herbener Grove City CollegePeter G. Klein University of MissouriRalph Raico State U. College at BuffaloThomas Woods The Mises InstituteThomas DiLorenzo Loyola CollegeHans-Hermann Hoppe UNLVRoderick T. Long AuburnJorg Guido Hulsmann (forgive my lack of umlauts) Univ. of AngersYuri N. Maltsev Carthage College

Posted by Alex | Report as abusive

More names for you:Adams, Charles Williamsville, New YorkAllen, Ward Auburn UniversityAnderson, Marti Stanford UniversityAnderson, William L. Frostburg State UniversityArmentano, Dominick University of HartfordArnold, Roger Cal State University, San MarcosArthur, Terry Institute of ActuariesInstitute of Economic AffairsBarnett, Andy Auburn UniversityBarnett, William Loyola UniversityBarry, Norman University of Buckingham, UKBarth, James Auburn UniversityBassani, Marco University of Milan;Bellante, Donald University of South FloridaBennett, James T. George Mason UniversityBenson, Bruce Florida State UniversityBernardini, Paolo Boston UniversityBittlingmayer, George University of KansasBjornsson, Olafur University of IcelandBostaph, Samuel University of DallasBouillon, Hardy Centre for the New EuropeBoykin, Scott Birmingham, AlabamaBracewell-Milnes, J.B. Surrey, EnglandBramoullé, Gérard Université de Droit, d’Economie et des Sciences d’Aix-MarseilleBrandly, Mark Ferris State UniversityBrown, Pamela Cal State University, NorthridgeBrzeski, Andrzej Univ of California, DavisBurton, David R. The Argus GroupBurton, John Birmingham Business School, EnglandCalcagno, Peter College of CharlestonCallahan, Eugene London School of EconomicsCalzada, Gabriel Rey Juan Carlos UniversityCampan, Gaël University of ParisCantor, Paul University of VirginiaCarden, William Art Rhodes CollegeCarilli, Anthony Hampden-Sydney CollegeCarlson, Allan The Howard CenterCleveland, Paul Birmingham-Southern CollegeCochran, John P. Metro State College of DenverColombatto, Enrico Universita’ di TorinoComanescu, Dan Cristian University of BucharestConway, David Middlesex University, UKCordato, Roy E. The John Locke FoundationCox, Jim Georgia Perimeter CollegeCoyne, Christopher Hampden-Sydney CollegeCubeddu, Raimondo University of Pisa rcubeddu@dsp.unipi.itCurrier, Elizabeth Committee for Monetary Research and EducationCuzan, Alfred G. University of West FloridaCwik, Paul Mount Olive CollegeDalton, Allen Boise State UniversityDempster, Gregory Hampden-Sydney CollegeDenson, John V. The Mises InstituteDeRosa, Marshall Florida Atlantic UniversityDesrochers, Pierre University of TorontoEbeling, Richard Trinity CollegeEgger, John Towson State UniversityEkelund, Robert B. Auburn University

Posted by Alex | Report as abusive

Eshelman, Larry J. Ossining, New YorkFand, David George Mason University dfand@gmu.eduFernandez-Morera, Dario Northwestern UniversityFleming, Thomas Rockford InstituteFlew, Antony G.N. University of Reading, England (emeritus)Foss, Nicholai Juul Copenhagen Business SchoolGallaway, Lowell Ohio UniversityGamble, Richard Palm Beach Atlantic CollegeGarrison, Roger Auburn UniversityGlahe, Fred R. University of ColoradoGoldberg, Steven City University of New YorkGottfried, Paul Elizabethtown CollegeGreaves, Bettina Bien Foundation for Economic EducationHabermann, Gerd Unternehmer Institute, GermanyHabsburg, Otto von Schlarbaum LaureateHabsburg-Lothringen, Karl von Pocking, Germanyamowy, Ronald Univ of Alberta, emeritusHanke, Steve Johns Hopkins UniversityHarris of High Cross, Lord Institute of Economic Affairs, LondonHarriss, Lowell Columbia UniversityHebert, Robert F. University of Louisiana -Higgs, Robert Independent ReviewHoff, Ole-Jacob Tjome, NorwayHolcombe, Randall Florida State UniversityHorowitz, Irving Louis Rutgers UniversityHuerta de Soto, Jesus Universidad Rey Juan CarlosHughes, Arthur University of MarylandIkeda, Sanford SUNY, Purchase CollegeJeffrey, Christina Limestone CollegeJewell, Jason Faulkner UniversityJones, Madison Auburn UniversityKaplan, Edward Western Washington UniversityKee, James R. St. Mary’s Univ, San AntonioKlein, Sandra University of MissouriKrecke, Elisabeth University of Law, Economics, and Science of Aix-MarseilleKurrild-Klitgaard, Peter Univ of Southern DenmarkLaband, David Auburn UniversityLarkin, James University of AdelaideLawson, Robert Auburn UniversityLepage, Henri University of ParisLeube, Kurt Hoover Institution, StanfordLilley, Floy Mises InstituteLipkes, Jeff University of South FloridaLittlechild, Stephen O. University of Birmingham, EnglandLivingston, Donald Emory UniversityLopez, Franklin A. University of New OrleansLottieri, Carlo University of SienaLuckey, William Christendom CollegeMachovec, Frank Wofford CollegeMahony, David O University College, CorkMathews, Donald Coastal Georgia College Maxey, Margaret University of Texas, AustinMcCallie, John Michigan State UniversityModugno, Roberta Adelaide University of Roma 3Moini, Mostafa Oklahoma City UniversityMoldofsky, Naomi Univ of Melbourne, AustraliaMontgomery, Michael University of MaineMoore, Thomas Gale Hoover InstitutionMoorhouse, John Wake Forest UniversityMoots, Glenn Northwood UniversityMoses, Michael Valdez Duke UniversityMoss, Laurence Babson CollegeMueller, Antony P. University of Erlangen-Nuremberg, Germany, and University of Caxias do Sul, BrazilMurata, Toshio Yokohama College of CommerceMurphy, Robert New York UniversityNataf, Philippe University of Paris–DauphineNorth, Gary American Bureau of Economic ResearchOkon, Hiroyuki Kokugakuin UniversityOstaszwski, Krzysztof University of LouisvilleOstrowski, James Buffalo, New YorkOverbeek, Johannes Univ of the Virgin IslandsPadilla, Alexandre Metro State College of DenverPasour Jr., E.C. North Carolina State UnivPeterson, William Heritage FoundationPeyser, Thomas Randolph-Macon CollegePolleit, Thorsten Frankfurt School of Business and Barclays CapitalPowell, Benjamin Suffolk UniversityPrentice, Paul T. Univ of Co at Colorado SpringsQuirk, William Univ of South CarolinaRashid, Salim Univ of IllinoisReed, Lawrence Foundation for Economic EduReekie, W. Duncan University of WitwatersrandReisman, George Pepperdine UniversityReynolds, Morgan Hot Springs Village, ArkansasRichey, Clyde University of CO at BoulderRidgway, Terry UNLVRitenour, Shawn Grove City CollegeRoberts, Carey M. Arkansas Tech UniversityRoberts, Paul Craig Hoover InstitutionRobinson, Steve Univ of N.C. at Wilmington

Posted by Alex | Report as abusive

It’s economists that got us into this mess. The Obama administration has many economists. Ben Bernanke is an economist. So much for “professional economists”, though you might consult Peter Schiff. Ron Paul himself has never had any professional economic training. He has read a great deal and applied common sense. In the same way that one might consider Ron Paul to be an economist, there are 534 other “professional economists” elected to Congress. Economics is not a complex subject. It is made to appear complex so that we have to hire “professional economists” to help us understand it. They tell create complex investment & saving programs like IRA’s & 401K’s and Social Security. But really economics breaks down to supply & demand and what is moral. It is immoral for a collective majority to decide that part of an individual’s wages or a business’s profits belong to the collective majority. That’s simply socialism, just a step away from communism. We would be much better off without the “professional economists”. Enough of them already. Just use your common sense.

Posted by Bill Goode | Report as abusive

Rodriguez de Ampuero, Dora Institute of Political Economy, EcuadorRowley, Charles K. George Mason UniversityRozeff, Michael University at BuffaloSabrin, Murray Ramapo CollegeSalin, Pascal University of ParisSchohl, Frank Friedrich Schiller Univ, GermanySciabarra, Chris New York UniversityScott, Carole State Univ of West GeorgiaScott, Jeff Wells Fargo, San FranciscoSeldon, Arthur Inst. of Econ. Affairs, LondonSelgin, George West Virginia UniversityShah, Parth Institute for Civil Society, IndiaShanahan, Edmund Edmund Burke InstituteShapiro, Milton Claremont Graduate SchoolShearmur, Jeremy Australian National UniversitySima, Josef Prague University of Economics & Liberalni InstitutSimpson, Barry University of South AlabamaSmiley, Gene Marquette UniversitySmith, Barry State U. of New York, BuffaloSmith, T. Alexander University of TennesseeSocher, Karl Institut Wirtschaftstheorie, AustriaSommer, John W. Urban Inst., UNC, CharlotteSophocleus, John Auburn UniversityStringham, Edward Trinity CollegeSunwall, Mark University of HyogoTabarrok, Alexander Independent InstituteTaylor, Thomas C. Wake Forest UniversityTerrell, Timothy Wofford CollegeThommesen, Sven N. Auburn UniversityThompson, Henry Auburn UniversityTooley, Hunt Austin CollegeTrask, Arthur Scott Mises InstituteTrivoli, George Jacksonville State Universityvan Dun, Frank University of GhentVedder, Richard Ohio UniversityVeryser, Harry University of Detroit MercyVieira Jr., Edwin National Alliance for Constitutional MoneyWalker, Deborah Loyola UniversityWalstad, Allan University of PittsburghWestley, Christopher Jacksonville State UniversityWeymouth, Theodore Lake Forest Graduate SchoolWilcke, Richard University of LouisvilleWilliams, Frank Augusta State UniversityWilson, Clyde University of South CarolinaYamshon, Steven UCLAYanochik, Mark Georgia Southern UniversityYates, Steven Univ of South Carolina UpstateYoon, Bong Joon State Univ of NY, BinghamtonYounkins, Edward W. Wheeling Jesuit UniversityYu, Tony University of New South WalesZlabinger, Albert Carl Menger Institute, Vienna

Posted by Alex | Report as abusive

Please forgive my absurdly long post, but these were the names I could come up with quickly. I didn’t want to print the names of every single economist who agrees with HR 1207, mostly because I don’t know every single economist out there. But I hope that list should give you plenty to work with.

Posted by Alex | Report as abusive

Well unfortunately Carl Menger, Ludwig Von Mises, F.A. Hayek (1974 Nobel Prize), and Murrey Rothbard are all dead now, but the following list of living economists might help:1) Jesús Huerta de SotoProfessor of Political Economy at Rey Juan Carlos University of Madrid, Spain.2) Steven HorwitzMercatus Center Affiliated Senior Scholar, Charles A. Dana Professor of Economics, St. Lawrence University3) Christopher CoyneMercatus Center Associated Research Fellow, Assistant Professor of Economics, West Virginia University4) Peter BoettkeBB&T Professor for the Study of Capitalism, Mercatus Center, Vice President for Research and Principal Investigator for the Gulf Coast Recovery Project, Mercatus Center, University Professor of Economics, George Mason University5) Peter LeesonMercatus Center Senior Scholar, BB&T Professor for the Study of Capitalism, George Mason University6) Jim Rogersco-founder of the Quantum Fund, and is a college professor, author, world traveler, economic commentator, and creator of the Rogers International Commodities Index (RICI).7) Peter SchiffPresident of Euro Pacific Capital, forseer of current economic collapse.8) Marc FaberStudied Economics at the University of Zurich and, at the age of 24, obtained a PhD in Economics magna cum laude. Founder of GBD report.9)Block, Walter Loyola University, New Orleans wblock@loyno.eduDiLorenzo, Thomas Loyola College of Maryland tdilo@aol.comGordon, David The Mises Review dgordon@mises.orgHerbener, Jeffrey M. Grove City College jmherbener@gcc.eduHoppe, Hans-Hermann University of Nevada, Las VegasDistinguished Fellow, The Mises Institute Hoppe@Mises.comHülsmann, Jörg Guido University of Angers jgh@guidohulsmann.comKlein, Peter G. University of Missouri pklein@missouri.eduLong, Roderick T. Auburn University rlong@mises.orgMaltsev, Yuri N. Carthage College yuri@propertyandfreedom.orgRaico, Ralph State University College at Buffalo rraico@mac.comSalerno, Joseph T. Pace University and Vice President for Academic Affairs jsale@earthlink.netThornton, Mark Mises Institute mthornton@mises.orgWoods, Thomas Mises Institute woods@mises.org

Posted by dave | Report as abusive

Anyone not in favor of a FED audit, “economist” or not, are either shills, inept, have an agenda or are simply naive sheep. There is NO reasonable explanation for not supporting true transparency of the very entity that controls the economy, monetarily speaking. It defies commonsense to appose an audit. The FED is the only financial institute in America VOID of ANY regulations whatsoever. Think about that for a second. With their soon to be new sweeping authorities the FED will have the power to regulate all private business (even the power to dictate the amount of fat Burger king can use in their hamburgers) but they themselves have absolutely no one to answer to. It’s insane. They only thing more insane is the position that some take that an aduit of the FED isn’t warranted. Truly mind boggling.

Posted by Ed | Report as abusive

Thomas Sowell

Ludwig Von MisesLew RockwellThomas WoodsMurray RothbardLouis T. McFadden (murdered by the Fed)Henry Ford

Posted by Yeah Right | Report as abusive

For a moment I thought to start perusing known pro-audit articles I have read in order to enumerate authors known to be professional economists. However, it seems to me that a sufficient number have already been supplied. So I’ll use that as a rationalization to avoid the work.I do have a comment if you care to listen. You are obviously looking to frame the matter in terms of an academic debate between professional economists. I would respectfully suggest that you be cautious is this approach.Despite the fact that economists use mathematical models to support and justify their conclusions the reality is that economics as it exists today is hardly a hard or predictive science. Moreover it is often driven by ideological or moral considerations as much as by anything else (I am thinking of the socialistically inclined P. Krugman as I write this but the same could be said of the pro-liberty economists).Finally, it is hard for me to be too impressed with the cadre of ivy-league economists arrayed against the bill. In many cases they were the authors of the very policies that proved to be catastrophic. I have no doubt that Bernanke could beat me at scrabble; that does not mean that I want him deciding what I should or not know about the nation’s monetary policy.

Hello:My name is Olivier Ledoit. I am Permanent Research Fellow at the Institute for Empirical Research in Economics of the University of Zurich, Switzerland. I hold a Master’s Degree in Economics from the Ecole Nationale de la Statistique et de l’Administration Economique (ENSAE) in Paris, France. I also hold a PhD in Financial Economics from M.I.T. I taught Financial Economics at UCLA. I have published several research articles in top peer-reviewed journals, including one in the Journal of Political Economy. My latest working paper is on monetary policy.I am in favor of HR1207.Best regards,Olivier Ledoit.

Just a few names as suggestions for your use. In no specific order. Each can be easily reached.H H HoppeW BlockT DiLorenzoR HiggsJ TuckerR RaicoL RockwellM RozeffT WoodsJ T SalernoIf you wish specific contact numbers, probably best to contact the Mises Institute, or reply to me and it will be taken care of.c r sebrell

Posted by Charles Sebrell | Report as abusive

your best bet is walter block (loyola) or robert higgs (independent institute).

Posted by jon | Report as abusive

James, from the comments here, it’s safe to say you’re in bigger mess now, hahaha!

Posted by Fabian Rivera | Report as abusive

Lew RockwellPeter SchiffJim RogersRobert MurphyWalter BlockGary North

Posted by Jason | Report as abusive

Jim RogersPeter SchiffHoward Baetjer, Professor of Economics at Towson University.

Posted by John | Report as abusive

James Pethokoukis is asking for names of \”professional economists, people making a living from teaching or consulting,\” not, \”self-taught experts\”. Most Americans, myself included, are neither. But who among us needs to be a \”professional economist\” or a \”self taught expert\” to suspect that we are being ripped off by those who claim to be \”professional economists\” or \”self taught experts\”?Isn\’t it just a little bit \”fishy\” when our so-called \”elected representatives\” and \”public servants\” claim that it is a bad idea to be audited by those whom they claim to represent and serve? I\’m asking for names too. Who are these people?PS, thank you James for asking the question and for posting so many great replies.

Perhaps a more significant question would be to ask if there are any economists not dependent on the federal government for their livelihood.

Posted by Will | Report as abusive

The list here – http://mises.org/faculty.aspx – is long, but distinguished. To that list I would also add:Robert HiggsPeter SchiffJim Rogers

I remember when journalism meant actually going out and doing research. To ask if there are really any economists who support Ron Paul’s Audit the Fed bill is laughable, and if I was the editor, you’d be fired.

Posted by GH | Report as abusive

Interview Robert HiggsProfessor of Economics, University of Washington, RetiredSenior Fellow Political Economy, Independent InstituteEditor, Independent Review

Posted by Jennifer Hill | Report as abusive

I am a professional economist, I suppose. My Ph.D. in economics is from Columbia University (1972), and I am Harold E. Wirth Eminent Scholar Endowed Chair and Professor of Economics, Joseph A. Butt, S.J. College of Business, Loyola University New Orleans.I’m only luke warm in my support of Ron Paul’s bill to audit the Fed. I see it, merely, as a first step (Ron, I know, agrees with me on this.) Rather, I favor the ENDING of the Fed, and its replacement with the gold standard, 100% reserve banking, no fiat currency, no legal tender laws, in all, a complete removal of government from the monetary field (just as we separate church and state, we should separate money and state)

The writer is a tool of the state.

Posted by Jack | Report as abusive

For those of you who may not know who Walter Block is, follow that link that he posted. Dr. Block is one of the foremost free-market economists living and teaching today.If anyone reading this has failed to learn the lessons of the first and second great depressions, do yourselves a favor and read what Dr. Block has to say. You have nothing to lose but your illusions.-jcr

Posted by John C. Randolph | Report as abusive

Hi Jim, I’m an economist ( B.S. / M.S. in Economics )who supports Ron Paul and this bill. Please feel free to contact me

Posted by Don Cooper | Report as abusive

Hey James!There have already been several great suggestions about professional economists to seek out who would likely be in favor of HR 1207, but I wanted to make a statement about professional economists in general. I am a recent economics undergraduate, and it struck me as I went through my program that all economists essentially work like this: they have a specific specialty that they have studied intensely, and are extremely knowledgeable about. Like, for example, commercial fishing economics. For almost all other topics that are not their specialty, they more-or-less blindly trust the economists whose specialty it is.Case in point: I had a economics professor who specialized in international development, especially pre-Soviet economies transitioning toward market economies. One day in class he said “Well it seems to me like the Fed’s actions are a bad idea, but Bernanke is a smart guy, so I trust him.” I think this example is indicative of the fact that since Bernanke is a renowned, trusted professional economist, he has de facto support from most professional economists.

Posted by Geoffrey | Report as abusive

“It is well enough that people of the nation do not understand our banking and monetary system, for if they did, I believe there would be a revolution before tomorrow morning.”

Posted by Henry Ford | Report as abusive

I am for auditing the fed.Kirby R. Cundiff, Ph.D. CFA, CFP(R)Associate Professor of Finance

Just to make James Pethokoukis’ job easier, I’m going to list 5 professional economists in favour of the Fed audit, and then provide a link to a commentary that outlines their reasoning.1. Professor George Selgin, University of Georgiahttp://www.csmonitor.com/2009/080 3/p09s01-coop.html2. Professor Robert Higgs, formerly of the University of Washington (now with the Independent Institute)http://www.mcclatchydc.com/opi nion/story/73090.html3. Professor Tom DiLorenzo, Loyola Collegehttp://www.thefreemanonline.org/f eatured/the-myth-of-the-independent-fed/ 4. Dean Baker, Center for Economic Policy Researchhttp://www.youtube.com/watch?v=H lzziYs_ZoU5. Professor Sinclair Davidson, RMIT Universityhttp://www.catallaxyfiles.com/ blog/?p=5736

Sadly, I am not an economist. I’m merely a knuckledragging Ph.D. astrophysicist who supports HR1207.I look forward to your next paid hatchet job/hit piece.Not.

Posted by Michael P. Owen | Report as abusive

We the people need to finally audit the fed after 100 yrs, I mean a complete and independent audit from the inception unto this present day. The truth will be out that is why they are avoiding it like a ‘plague’. Do the people really want to know where and what their money was funding? I foresee a revolution either way, if they get away without an audit, or they do get audited. If they get away without an audit, then By God We the People should be exempt from the same! When the truth is out about who has been funding what, there will be hell to pay. May God the Almighty have mercy on us ALL. Do people even realize what they have done in the last century, all under the guise of freedom, security, and happiness? I know there are some who know the truth, the victims of which most have been silenced through various means. Let no guilty man escape, if it can be avoided…No personal considerations should stand in the way of performing a public duty.

Posted by swansend | Report as abusive

Jesus Huerta de Soto is a world class economist at Juan Carlos University, Madrid (Spain) who endorses ending central banking.

Posted by Friedrich Hayek | Report as abusive

Economist Judy Shelton supports returning to the gold standard (read her Wall Street Journal article : http://online.wsj.com/article/SB12344059 3696275773.html)

Posted by Friedrich Hayek | Report as abusive

All fiat money fails.Did anyone happen to pay an attention to the last 2000 years of history as it went by?

Posted by Rusty Shackleford | Report as abusive

Michael “Mish” Shedlock.MikeShedlock@gmail.comMike Shedlock / Mish is a registered investment advisor representative for SitkaPacific Capital Management.http://globaleconomicanalysis .blogspot.com/

Holy Frijoles, Batman! Seems like we have strong consensus. Actually, abolishing the Fed would be a great start. Then abolish the IRS, CIA, Homeland Security, Dept. of Public Education and replace the entire U.S. Senate. Then, overhaul the entire DoJ. That would be a start. Simultaneously, shrink federal government to 1/10 current size (for starters) and military by 2/3 (what in the hell are we doing in 100 foreign nations?)… yeah man! Revolution, baby!

Posted by Jim McDougall | Report as abusive

I would love to see this bill pass. Everyone is talking about transparency in Washington, well, this is one way to do it. We give them billions and trillions of dollars of our hard earned money every year and no one can seem to explain where it is going?! Try doing that with you expense account at work and see how well that goes over. Just as we are required to submit taxes to the IRS every April, we the people should be able to audit our government as well. I work as a tax preparer and bookkeeper and also serve on a few town boards int he town that I live in and I can safely say that if we ever tried that here in New England, we would be hung up by our jibblies and hung out to dry. The Fed should be responsible just like every American to follow the law. Why should they be so special!

Posted by Greg | Report as abusive

It’s so incredibly obvious if you look at the bill that it won’t interfere with present monetary policy decisions. It’s just auditing their practices with taxpayer money. Every American should be behind this – why would you NOT audit the Fed?? I get audited for my paltry income, why should the Fed be exempt from an audit of trillions of dollars? This is the only worthwhile bill that should pass through Congress – instead we get all the sunshine and rainbow ‘anti-pain’ bills that just make things worse.

Posted by Landon | Report as abusive

What about people who live within their means, never spend more than they can afford, balance their checkbooks, save for a rainy day, and pay back debts promptly?Not “economist” enough for you, or too common-sense?End the Fed.Monetary policy by an exclusive club of private bankers done in secrecy?How can any person with more than a dozen brain cells see logic in this?Absolute insanity.

Posted by Idaho | Report as abusive

I favor auditing the Fed when it strays, as it dramatically has, from holding a portfolio of only Treasury paper and loans to commercial banks. The independence of monetary policy is not compromised by auditing the Fed’s fiscal/bailout actions.I’m a professional academic economist, Ph.D. from UCLA. Job history: New York University, University of Georgia, University of Missouri – St. Louis. In the fall I’ll be professor of economics at George Mason University.–Lawrence H. White

I looked at your other blog entries, but on each one, I only saw a couple of comments. However, this thread currently has 102, and I think you probably know why.It is because you have written a series of hit pieces full of falsehoods on a very popular piece of legislation, HR 1207, The Federal Reserve Transparency Act of 2009.Now, in your current hit piece, you pretend to be the expert on experts, and declare that you cannot find any experts that support the bill.With your self aggrandizing expert eyes, you blatantly ignore not only the founding fathers, but the scores of economists who have come out for an audit on the news and in print.Now that we, the people, have provided you with hundreds of references to economists and geniuses, alive and dead who would support HR 1207, will you write a follow up to publish their views and support?Will you tell how Jefferson said that “the central bank is an institution of the most deadly hostility existing against the principles and form of our Constitution?”I dare you.Unfortunately, I suspect you’ll issue and misspell a follow up article that ignores the evidence and declares all of the experts we’ve listed in these comments, along with our founding fathers, as “self-taugt.”You are yet to fulfill your quota in “shilling” for the bank, but we won’t stop commenting and representing the truth.Bring it on.Thanks at least for posting Ron Paul’s speech.

Posted by freedom of health | Report as abusive

Thomas Woods, Mises InstituteRoderick T. Long, Auburn UniversityHans-Hermann Hoppe, UNLVState University College – BuffaloThomas DiLorenzo, Loyola UJeffrey Herbener, Grove City CollegePeter G. Klein, University of Missouri

Posted by Dave Williams | Report as abusive

Peter Schiff, is an economist. President of Euro-Pacific Capital. He is an extremely well known economist that runs a successful investment firm. He supports HR1207.

Posted by Curtis | Report as abusive

chris chriscz and debbie -you are hateful people who dont understand tolerance. i was typing fast i was in a hurry and i didnt have time to do a spell chekc so give me a break. i have a right to free speach just like you do. i’m not hateful or bigoted to you like you people are to me. your only hirting your cause by acting like tha to me. you still havent provedt o me that those ‘economists’ really know what there talking about. as i said before and james said if they agree with paul tehen that makesme suspicous. im not going to beleive everything i read on interenet like you do. i actually have to reserch things unlike you and ive read enough about paul and his bill and ill tell you it wont work.

Posted by Dan Phillips | Report as abusive

There are many economists that are not in favor of auditing the Federal Reserve. These same economists are could also cannot pass simple tests on physics and thermodynamics. Due to this, they unfortunately cannot understand that our current economy has become unstable due to energy and resource issues. If we want to keep this project that we can the United States going, we eventually will have to issues US dollars without debt, as debt based monetary system becomes increasingly unstable. Learn more by watching the “Crash Course” by Chris Martenson PhD/MBA. http://www.chrismartenson.com

Posted by Daniel J Swanson | Report as abusive

pwn3d!

Posted by dvictr | Report as abusive