Fed Dissent Is Tame Compared With What’s to Come: Jonathan Levin

As Americans, we’re taught that democracy is synonymous with fairness. Thinking of legalizing recreational marijuana? Put it on the ballot. Can’t agree on what to have for dinner? Just hold a family vote. In those contexts, it’s majority rules.

But a system of up-and-down votes, based solely on individual preference, is far from ideal for every situation. Corporate boards, scientific panels and many of the world’s leading central banks operate by building consensus. A group of mutually respecting subject-matter experts gather around a literal or figurative table and hash out a course of action for their institutions. Ideally, they come to the ...