Senators Elizabeth Warren and Raphael Warnock, the ranking members of the U.S. Senate Committee on Banking, Housing and Urban Affairs and its Subcommittee on Economic Policy, sent a letter to Federal Reserve Chair Jerome Powell asking how the Federal Reserve will protect the integrity of the economic data it relies on for interest rate and other policy decisions. The letter points to reported Trump Administration actions that the Senators argue could undermine the independence and reliability of core statistics, including dismantling advisory committees at the Bureau of Labor Statistics and the Bureau of Economic Analysis and dismissing economic advisers and data experts. It asks whether the Federal Reserve has protocols to vet data from other agencies, how the loss of advisory committees could affect the Federal Reserve’s ability to meet its dual mandate of maximum employment and stable prices, and how the Federal Reserve has historically used data informed by the now-disbanded advisory groups. The Senators requested responses to their questions by April 25, 2025.
U.S. Senate Committee on Banking, Housing and Urban Affairs 2025-04-11
U.S. Senate Committee on Banking, Housing and Urban Affairs Democrats seek Federal Reserve plan to safeguard data integrity for inflation and jobs decisions
Senators Elizabeth Warren and Raphael Warnock queried Federal Reserve Chair Jerome Powell on safeguarding the integrity of economic data for policy decisions. They expressed concerns over Trump Administration actions that may compromise data independence and reliability, including dismantling advisory committees. The letter seeks clarification on the Federal Reserve's data vetting protocols and the impact of these changes on its dual mandate.