Paul built a fervently loyal base that propelled him to several dark horse presidential campaigns largely on his intense criticism of the Fed. The author of "End the Fed" would regularly lecture Bernanke on the perceived woes of his monetary policy. The Fed chairman largely humored his remarks, and politely disagreed with them.
Paul also used his latest statement to heartily endorse one of his pet legislative projects, mandating a top-to-bottom audit of the Fed, which is being sponsored in the current Congress by his son, Sen. Rand Paul (R-Ky.).
"The American people deserve a full accounting of the Fed’s operations," he said.
Bernanke has criticized the legislation, arguing that much of the Fed's operations are already subject to independent oversight. Requiring the same scrutiny of the Fed's monetary policy decisions, as the bill would do, could restrict the Fed's independence and subject it to political pressure, he warned.