# An Open Letter to Treasury Secretary Bessent | Mises Institute
**Source:** https://mises.org/mises-wire/open-letter-treasury-secretary-bessent?
## Summary
• **Fed's Failure Assessment**: The Fed has unequivocally failed in its mission, making the economy more unstable with higher inflation than before its creation, despite employing hundreds of PhD economists
• **Fed Economists' True Function**: The 500+ Fed economists primarily work to obfuscate the Fed's failures, censor critics, and lobby for bigger budgets, more power, and increased perquisites like the $2.5 billion headquarters renovation
• **Historical Evidence of Failure**: Academic research shows the dollar lost 96% of its purchasing power under the Fed's watch (from $108 in 1913 to $2,422 in 2008), with the highest inflation rates occurring during Fed oversight
• **Economic Instability**: The Fed created more volatile business cycles and caused numerous economic crises (1920, 1929, 1953, 1957, 1960, 1969, 1973, 1980, 1981, 1990, 2001, 2008, 2020)
• **Academic Capture**: 74% of monetary policy articles are published by Fed-affiliated economists, creating a propaganda machine that suppresses criticism
• **Political Bias**: Fed economists show extreme Democratic party bias (48.5:1 ratio at Board of Governors), focusing research on left-wing topics like climate change, race, and gender rather than monetary policy
• **Central Planning Problem**: The Fed operates as a Soviet-style central planning bureaucracy, with one person controlling interest rates rather than allowing market forces to determine them
• **Historical Precedent**: America successfully
## Key Information
### Extracted Entities
**Keyword:** academic, central, economists, government, inflation, monetary, rates, republican, research, such
**Location:** Berkeley, Lawrence, North America, Trump Tower, U.S., United States, Washington
**Organization:** Board of Governors, Dallas Fed, Fed, Fed Board of Governor, Federal Reserve, Federal Reserve Bank, Federal Reserve Capital Conference, Federal Reserve Economists, First Bank of, Philadelphia Fed, Treasury, University of California
**Person:** Bessent, Christina Romer, Emre Kuvvet, George Selgin, Milton Friedman, Mises, Obama, San Francisco, Thomas DiLorenzo, White, William Lastrapes
### Referenced Links
- [point out](https://www.cato.org/sites/cato.org/files/serials/files/policy-report/2012/11/cprv34n6-1.pdf#page=2)
- [Political Affiliations of Federal Reserve Economists](https://www.independent.org/pdf/tir/tir_27_2_01_kuvvet.pdf)
- [Has the Fed Been a Failure?](https://www.cato.org/policy-report/november/december-2012/has-fed-been-failure)
- [concluded](https://www.cato.org/sites/cato.org/files/serials/files/policy-report/2012/11/cprv34n6-1.pdf#page=2)
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*Shared from Contexst on Jul 25, 2025 at 15:25*
