Arguably the confirmation of 3 youthful originalist textualist Supreme Court justices makes likely that we will see substantial tact toward more state independence and restraint of the federal government broadly. While folks holler about this or that and things are heated... Notice these huge cases trickling in:
Here's the updated list of recent Supreme Court cases that asserted states' rights and/or advanced government restraint:
1. *Biden v. Nebraska (2023)*: Limited the Secretary of Education's authority under the HEROES Act, constraining the federal executive's interpretive power over statutory mandates.
2. *303 Creative LLC v. Elenis (2023)*: Upheld the First Amendment rights against state compulsion, supporting individual rights against state actions.
3. *Sackett v. Environmental Protection Agency (2023)*: Restricted the EPA's ability to regulate wetlands, effectively limiting federal environmental regulatory power and implying greater autonomy for states.
4. *Dobbs v. Jackson Women's Health Organization (2022)*: Overturned Roe v. Wade, ending the federal constitutional right to an abortion and allowing states to regulate or ban abortion rights.
Seccesion seems less likely to me. The Supreme Court sets the rules. The states should have less to be angry about in the coming years.
Re central banking:
The history of central banking in the United States before the establishment of the current Federal Reserve System in 1913 involves two previous central banks: the First Bank of the United States (1791-1811) and the Second Bank of the United States (1816-1836). Analyzing the differences between these institutions and the reasons for the longevity of the Federal Reserve can provide insights into the evolution of central banking in the U.S.
### First Bank of the United States (1791-1811)
- *Establishment and Objective*: Proposed by Alexander Hamilton, it was established to handle the war debt and create a standard form of currency.
- *Structure and Governance*: It was a private corporation with public duties, holding a twenty-year charter.
- *Controversy and Opposition*: It faced significant opposition from those who feared centralized financial power, particularly from Thomas Jefferson and James Madison.
- *Role in Economy*: The bank was instrumental in standardizing U.S. currency and stabilizing the economy but was less involved in regulating other banks.
### Second Bank of the United States (1816-1836)
- *Establishment and Objective*: Created in response to the financial chaos of the War of 1812, it aimed to stabilize the currency and control state banks.
- *Structure and Governance*: Similar to the First Bank, but with more capital and stricter regulatory authority over state banks.
- *Controversy and Opposition*: Faced intense opposition from Andrew Jackson and others who viewed it as a tool of the elite against the common man.
- *Role in Economy*: Played a larger role in regulating state banks and managing inflation, but its power was often seen as overreaching.
### Federal Reserve System (Established 1913)
- *Response to Financial Panics*: The Federal Reserve was created in response to a series of financial panics, particularly the Panic of 1907, highlighting the need for a central bank to manage the nation's monetary system and provide stability.
- *Decentralized Structure*: Unlike its predecessors, the Federal Reserve has a decentralized structure with twelve regional Federal Reserve Banks, balancing the interests of private banks and the public.
- *Democratic Governance*: It operates under a government oversight system, with its leaders appointed by the President and confirmed by the Senate, ensuring a balance between private banking and public accountability.
- *Flexible Monetary Policy*: The Fed has a more flexible approach to monetary policy, with tools like open market operations, reserve requirements, and interest rate setting.
- *Role in the Economy*: It plays a crucial role in managing inflation, supervising and regulating banks, maintaining financial stability, and acting as a lender of last resort.
### Reasons for the Federal Reserve's Staying Power
1. *Adaptive and Flexible Monetary Policy*: The Fed can adapt its policies to changing economic conditions, a flexibility not present in the earlier banks.
2. *Balance of Interests*: The Federal Reserve's structure balances the interests of various stakeholders, including the public, government, and private banks.
3. *Learning from Past Mistakes*: The design of the Fed incorporated lessons from the failures of the previous banks, particularly in terms of decentralized structure and stronger regulatory powers.
4. *Evolving Role in a Changing Economy*: The Federal Reserve's role has evolved over time, adapting to the complexities of a modern economy and global financial system.
The Federal Reserve's ability to evolve and adapt to changing economic conditions, along with its balanced structure and democratic oversight, has been crucial in its longevity and effectiveness compared to the earlier U.S. central banks.