U.S. Rep. French Hill (R-AR) on Monday sponsored legislation aimed at containing inflation.
“The Federal Reserve should direct its focus towards taming inflation and steer clear of economic policy fads and an expanded mission,” Rep. Hill said. “In light of the persistently rising prices, it is past time for Congress to reconsider the central bank’s core mission and contemplate a mandate centered on safeguarding the American people’s wallets.”
The Price Stability Act, H.R. 6117, which Rep. Hill introduced with original cosponsor U.S. Rep. Byron Donalds (R-FL), would remove the mandate on the Board of Governors of the Federal Reserve System and the Federal Open Market Committee (FOMC) to focus on maximum employment, according to the congressional record bill summary.
“As a former community banker and Treasury official, I am pleased to reintroduce this legislation to restore sanity to our nation’s monetary policy,” said Rep. Hill. “I thank my colleague, Rep. Donalds, for joining me in reintroducing this bill.”
Rep. Hill said that H.R. 6117 would end the Federal Reserve’s dual mandate and ensure that the central bank and FOMC focus their efforts exclusively on containing inflation. And he said that if a single mandate were adopted in the United States, then that would be in line with operations at the European Central Bank, the Swiss National Bank, the Bank of Japan, and the Bank of Canada, among others.
“The mounting failures of the Biden administration are devastatingly impacting the nation,” added Rep. Donalds. “I’m excited to partner with Congressman French Hill on this legislation to realign the Federal Reserve’s priorities with the needs of the American people.”
H.R. 6117 is supported by Alex Pollock, senior fellow at the Mises Institute; Joseph Salerno, academic vice president at the Mises Institute; and Paul Kupiec, senior fellow at the American Enterprise Institute.