December 03, 2009

Federal Reserve Chairman Ben S. Bernanke is due to be interviewed Thursday by the Senate Banking Committee concerning his likely reappointment as head of the central bank.Although his reappointment is not in doubt, he will face criticism of the Fed’s role in the financial crisis. Some of his critics are determined to scale back the Fed’s regulatory authority and perhaps rein in its political independence.

In a column in Sunday’s Washington Post, Bernanke criticized two pieces of pending legislation. One bill would strip the Fed of its authority to regulate banks and give the Senate a role in selecting the 12 regional Federal Reserve presidents. The other would empower Congress to “audit” Fed decisions on interest rates and other matters of monetary policy.