HGov: Supreme Court Case Process

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Some cases begin at the Supreme Court because they fall under its original jurisdiction. However, the vast majority of cases reach the Court only as appeals from lower court decisions.

The main route to the Supreme Court is when a lower court petitions the Court for a writ of certiorari, an order to send up the records on a case for review. When cases come to the Court, the justices and clerks decide which ones are worthy of serious consideration, and the chief justice puts them on a “discuss list” for all the justices to consider. If four of the nine justices agree to accept the case, the Court will do so.

After the Court accepts a case, the lawyers on each side submit a brief. Parties who have an interest in a case’s outcome may also submit a written brief called amicus curiae. The justices listen to oral arguments from lawyers for each side of each case.

The Court then recesses and considers arguments in these cases. A majority of justices must be in agreement to decide a case.

The Court issues one of four types of written opinions, which are as important as the decision itself. An opinion may be unanimous. A majority opinion expresses the view of the majority of justices. A justice who agrees with the majority’s decision but for a different reason may write a concurring opinion. A dissenting opinion is the opinion of justices on the losing side in a case.

The most controversial cases decided by the Supreme Court are often those that involve judicial review. Nowhere does the Constitution mention the power of judicial review. In 1803, the Supreme Court took on that duty for the first time in Marbury v. Madison. In that case, the Court declared a portion of the Judiciary Act of 1789 to be unconstitutional. It thus established the power of the judiciary to review the constitutionality of legislative or executive actions. Over time, judicial review has become the judicial branch’s most important check on the other two branches. More than two centuries after the Court assumed this power, Americans are still divided about its proper use. On one side are supporters of judicial activism, and on the other are advocates of judicial restraint.

Judicial activism is based on the belief that the Court has both the right and the obligation to use its power of judicial review to overturn bad precedents and promote socially desirable goals. Liberals tend to be more supportive of judicial activism than are conservatives. They look to the Court to defend the rights of women and minorities, for example, when legislatures fail to act.

Advocates of judicial restraint hold that judicial review should be used sparingly, especially in dealing with controversial issues. Conservatives tend to be more supportive of judicial restraint than are liberals. In their view, elected representatives, not unelected judges, should make policy decisions.

Econ: Federal Reserve System Structure

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The Federal Reserve System is the central bank of the United States. It was founded by Congress in 1913 to provide the nation with a safer, more flexible, and more stable monetary and financial system. Over the years, its role in banking and the economy has expanded. 

The Board of Governors, located in Washington, D.C., provides the leadership for the System. The Board of Governors consists of the seven governors, appointed by the president and confirmed by the Senate. Governors serve 14-year, staggered terms to ensure stability and continuity over time. The chairman and vice-chairman are appointed to four-year terms and may be reappointed subject to term limitations. Among the responsibilities of the Board of Governors are to guide monetary policy action, to analyze domestic and international economic and financial conditions, and to lead committees that study current issues, such as consumer banking laws and electronic commerce. The Board also exercises broad supervisory control over the financial services industry, administers certain consumer protection regulations, and oversees the nation’s payments system. The Board oversees the activities of Reserve Banks, approving the appointments of their presidents and some members of their boards of directors. The Board sets reserve requirements for depository institutions and approves changes in discount rates recommended by Reserve Banks. The Board’s most important responsibility is participating in the Federal Open Market Committee (FOMC), which conducts our nation’s monetary policy; the seven governors comprise the voting majority of the FOMC with the other five votes coming from Reserve Bank presidents. Board members are called to testify before Congress, and they maintain regular contact with other government organizations as well. The chairman reports twice a year to Congress on the Fed’s monetary policy objectives, testifies on numerous other issues, and meets periodically with the Secretary of the Treasury. The Board funds its operations by assessing the Federal Reserve Banks rather than through Congressional appropriation. Its financial accounts are audited annually by a public accounting firm, and these accounts are also subject to audit by the General Accounting Office.

A network of 12 Federal Reserve Banks and 25 branches make up the Federal Reserve System under the general oversight of the Board of Governors. Reserve Banks are the operating arms of the central bank. Each of the 12 Reserve Banks serves its region of the country, and all but one have other offices within their Districts to help provide services to depository institutions and the public. The Banks are named after the locations of their headquarters – Boston, New York, Philadelphia, Cleveland, Richmond, Atlanta, Chicago, St. Louis, Minneapolis, Kansas City, Dallas and San Francisco. The Reserve Banks serve banks, the U.S. Treasury, and, indirectly, the public. A Reserve Bank is often called a “banker’s bank,” storing currency and coin, and processing checks and electronic payments. Reserve Banks also supervise commercial banks in their regions. As the bank for the U.S. government, Reserve Banks handle the Treasury’s payments, sell government securities and assist with the Treasury’s cash management and investment activities. Reserve Banks conduct research on regional, national and international economic issues. Research plays a critical role in bringing broad economic perspectives to the national policymaking arena and supports Reserve Bank presidents who all attend meetings of the Federal Open Market Committee (FOMC). Each Reserve Bank’s board of directors oversees the management and activities of the District bank. Reflecting the diverse interests of each District, these directors contribute local business experience, community involvement and leadership. The board imparts a private-sector perspective to the Reserve Bank. Each board appoints the president and first vice president of the Reserve Bank, subject to the approval of the Board of Governors.

The Federal Open Market Committee, or FOMC, is the Fed’s monetary policymaking body. It is responsible for formulation of a policy designed to promote stable prices and economic growth. Simply put, the FOMC manages the nation’s money supply. The voting members of the FOMC are the Board of Governors, the president of the Federal Reserve Bank of New York and presidents of four other Reserve Banks, who serve on a rotating basis. All Reserve Bank presidents participate in FOMC policy discussions. The chairman of the Board of Governors chairs the FOMC. The FOMC typically meets eight times a year in Washington, D.C. At each meeting, the committee discusses the outlook for the U.S. economy and monetary policy options. The FOMC is an example of the interdependence built into the Fed’s structure. It combines the expertise of the Board of Governors and the 12 Reserve Banks. Regional input from Reserve Bank directors and advisory groups brings the private sector perspective to the FOMC and provides grassroots input for monetary policy decisions.

Three statutory advisory councils – the Federal Advisory Council, the Consumer Advisory Council, and the Thrift Institutions Advisory Council – advise the Board on matters of current interest. These councils whose members are drawn from each of the 12 Federal Reserve Districts, meet two to four times a year. The individual Reserve Banks have advisory committees as well, including thrift institutions advisory committees, small business and agricultural advisory committees. Moreover, officials from all Reserve Banks meet periodically in various committees.