Opening Statements of Committee Members

Opening Statement of Senator Connie Mack (R-FL)

The Federal Reserve's First Monetary Policy Report to Congress for 2000 (Humphrey-Hawkins)
10:00 a.m., Wednesday, February 23, 2000

U.S. Senator Connie Mack (R-FL), Chairman of the Joint Economic Committee and the Banking Subcommittee on Economic Policy, today said the Humphrey Hawkins Act should be replaced with the Economic Price Stability Act, making long-term price stability the sole focus of the Federal Reserve.

Mack said:

"Not too long ago many people thought we had to live with inflation if we wanted low unemployment. The experience of recent years has proven this theory is a farce: price stability and low unemployment go hand in hand.

"I am confident that under Chairman Greenspan, the Fed will keep prices stable. However, he will not be running the Federal Reserve forever.

"That is why I have re-introduced legislation to make long-term price stability the Fedís primary goal. The Economic Growth and Price Stability Act would lead to even higher rates of economic growth and lower rates of unemployment, while making the United States more competitive in the global marketplace.

"Some members of the Committee have expressed concern about this being the last scheduled Humphrey-Hawkins report. Iíd like to remind them that this bill would continue the tradition of semi-annual reports.

"In addition, I have introduced a bill that will help countries achieve sound money by adopting the U.S. dollar as their currency. Sound money isnít just good for the United States. Itís good for everyone."