§ 225a. Maintenance of long run growth of monetary and credit aggregates

Legislative history

Reconstructed from this section’s Code source credit and amendment notes, resolved against the local Statutes at Large. Editorial notes are evidence, not the law that made the change.

1. 1913

   Federal Reserve Reform Act of 1977

   Pub. L. 95–188 title II § 202 · 91 Stat. 1387

   Enacted · 12 U.S.C. § 225a

   Dec. 23, 1913, ch. 6, § 2A, as added Pub. L. 95–188, title II, § 202, Nov. 16, 1977, 91 Stat. 1387

   Source evidence

   Code source credit
   Dec. 23, 1913, ch. 6, § 2A, as added Pub. L. 95–188, title II, § 202, Nov. 16, 1977, 91 Stat. 1387

   Enacted provision · exact public law section
   Sec. 202. congressional-federal reserve dialog on monetary policy Insert a new section 2A immediately after section 2 of the Federal Reserve Act to read as follows: “Sec. 2A. “general policy: congressional review The Board of Governors of the Federal Reserve System 12 USC 225a. and the Federal Open Market Committee shall maintain long run growth of the monetary and credit aggregates commensurate with the economy’s long run potential to increase production, so as to promote effectively the goals of maximum employment, stable prices, and moderate long-term interest rates. The Board of Governors shall consult Semiannual hearings before congressional committees. with Congress at semiannual hearings before the Committee on Banking, Housing, and Urban Affairs of the Senate and the Committee on Banking, Finance and Urban Affairs of the House of Representatives about the Board of Governors’ and the Federal Open Market Committee’s objectives and plans with respect to the ranges of growth or diminution of monetary and credit aggregates for the upcoming twelve months, taking account of past and prospective developments in production, employment, and prices. Nothing in this Act shall be interpreted to require that such ranges of growth or diminution be achieved if the Board of Governors and the Federal Open Market Committee determine that they cannot or should not be achieved because of changing conditions.”.

2. 1978

   Full Employment and Balanced Growth Act of 1978

   Pub. L. 95–523 title I § 108(a) · 92 Stat. 1887

   1. Substituted · 12 U.S.C. § 225a

      Pub. L. 95–523 substituted provisions relating to independent written reports of the Board of Governors to the Congress for provisions relating to the consultations of the Board of Governors with Congress at semi-annual hearings

   2. Substituted · 12 U.S.C. § 225a

      Pub. L. 95–523 substituted “the objectives and plans with respect to the ranges” for “such ranges”

   3. Inserted · 12 U.S.C. § 225a

      Pub. L. 95–523 inserted “of the monetary and credit aggregates disclosed in the reports submitted under this section” after “growth or diminution”

   4. Inserted · 12 U.S.C. § 225a

      Pub. L. 95–523 inserted proviso respecting the inclusion of an explanation of reasons for revisions or deviations in subsequent consultations and reports

   Source evidence

   Code amendment note
   Pub. L. 95–523 substituted provisions relating to independent written reports of the Board of Governors to the Congress for provisions relating to the consultations of the Board of Governors with Congress at semi-annual hearings, substituted “the objectives and plans with respect to the ranges” for “such ranges”, inserted “of the monetary and credit aggregates disclosed in the reports submitted under this section” after “growth or diminution”, and inserted proviso respecting the inclusion of an explanation of reasons for revisions or deviations in subsequent consultations and reports.

   Enacted provision · exact public law section
   (a) Section 2A of the Federal Reserve Act is amended Annual reports to Congress. 12 USC 225a. by striking out the second and third sentences and inserting in lieu thereof the following: “ In furtherance of the purposes of the Full Employment and Balanced Growth Act of 1978, the Board of Governors of the Federal Reserve System shall transmit to the Congress, not later than February 20 and July 20 of each year, independent written reports setting forth (1) a review and analysis of recent developments affecting economic trends in the Nation; (2) the objectives and plans of the Board of Governors and the Federal Open Market Committee with respect to the ranges of growth or diminution of the monetary and credit aggregates for the calendar year during which the report is transmitted, taking account of past and prospective developments in employment, unemployment, production, investment, real income, productivity, international trade and payments, and prices; and (3) the relationship of the aforesaid objectives and plans to the short-term goals set forth m the most recent Economic Report of the President pursuant to section 3(a)(2)(A) of the Employment Act of 1946 and to any short-term goals approved by the Congress. In addition, as a part of its report on July 20 of each year, the Board of Governors shall include a statement of its objectives and plans with respect to the ranges of growth or diminution of the monetary and credit aggregates for the calendar year following the year in which the report is submitted. The reports required under the two preceding sentences shall be transmitted to the Congress and shall be referred in the Senate to the Committee on Banking, Housing, and Urban Affairs, and in the House of Representatives to the Committee on Banking, Finance and Urban Affairs. The Board shall consult with each such Committee on the reports and, thereafter, each such Committee shall submit to its respective body a report containing its views and recommendations with respect to the Federal Reserve’s intended policies. Nothing in this Act shall be interpreted to require that the objectives and plans with respect to the ranges of growth or diminution of the monetary and credit aggregates disclosed in the reports submitted under this section be achieved if the Board of Governors and the Federal Open Market Committee determine that they cannot or should not be achieved because of changing; conditions: Provided, That in the subsequent consultations with, and reports to, the aforesaid Committees of the Congress pursuant to this section, the Board of Governors shall include an explanation of the reasons for any revisions to or deviations from such objectives and plans. ”.

   Effective date note
   Pub. L. 95–523, title I, § 108(b), Oct. 27, 1978, 92 Stat. 1898, provided that: “The amendment made by subsection (a) [amending this section] takes effect on January 1, 1979.”

3. 1988

   Exchange Rates and International Economic Policy Coordination Act of 1988

   Pub. L. 100–418 title III § 3005(c) · 102 Stat. 1107

   Inserted · 12 U.S.C. § 225a

   Pub. L. 100–418 inserted “, including an analysis of the impact of the exchange rate of the dollar on those trends” after “the Nation” in cl. (1)

   Source evidence

   Code amendment note
   Pub. L. 100–418 inserted “, including an analysis of the impact of the exchange rate of the dollar on those trends” after “the Nation” in cl. (1).

   Enacted provision · exact public law section
   (c) Report by Board of Governors.— Section 2A(1) of the Federal Reserve Act (12 U.S.C. 225a(1)) is amended by inserting after “the Nation” the following: “, including an analysis of the impact of the exchange rate of the dollar on those trends”.

4. 2000

   American Homeownership and Economic Opportunity Act of 2000

   Pub. L. 106–569 title X § 1003(a) · 114 Stat. 2944

   Struck · 12 U.S.C. § 225a

   Pub. L. 106–569 struck out provisions after first sentence relating to annual reports to Congress, transmittal of reports to Congressional Committees, consultations with Committees, report of Committee, changing conditions affecting achievement of objectives and plans, and explanation for deviations from objectives and plans

   Source evidence

   Code amendment note
   Pub. L. 106–569 struck out provisions after first sentence relating to annual reports to Congress, transmittal of reports to Congressional Committees, consultations with Committees, report of Committee, changing conditions affecting achievement of objectives and plans, and explanation for deviations from objectives and plans.

   Enacted provision · exact public law section
   (a) Repeal.— Section 2A of the Federal Reserve Act (12 U.S.C. 225a) is amended by striking all after the first sentence.

7 of 7 references resolved to an enrolled provision