What Paul may win: a shot at changing the Federal Reserve

Ron Paul, trailing in delegates needed for the 2012 Republican presidential nomination, could be positioning himself to force his party to accept changes in the way the Federal Reserve operates.

The Texas congressman is attracting an expanding base of supporters passionate about his plainspoken message of sapping government power in favor of individual freedom. It's not enough to make him his party's standard bearer, say Republican strategists, yet if he follows through on a promise to remain in the race and collect delegates until the party's convention in August, he could gain the clout needed to highlight his signature goal of curtailing the power of the central bank.

"He's going to ask for a speaking role at the convention and try to have some influence in the party platform," Republican strategist John Feehery said.

That would likely mean adding some tough anti-Fed language to the party's formal agenda, such as mandating an audit of its monetary policy or sharply curtailing its power by eliminating its task of promoting employment so it focuses exclusively on price stability.

Tax reform highly unlikely in an election year

Tax reform sounds like a good idea to lots of people, but where to start? Eliminate the popular deduction for home mortgages? End the write-off for charitable contributions? How about expanding the Social Security payroll tax?

Not likely.

Politicians of all stripes are clamoring for simplifying the tax code and closing loopholes. But that would mean Americans would lose some of their prized deductions.

Not that Congress actually is likely to end tax breaks for home loans or religious and charitable contributions anytime soon. President Barack Obama and his chief Republican challengers - Mitt Romney and Newt Gingrich - certainly aren't advocating that.

In fact, recommendations to trim the mortgage deduction made in 2005 by a tax-overhaul panel convened by then-President George W. Bush and again in 2010 by a deficit-reduction committee set up by Obama were ignored by both those presidents. Associated Press

Critics worry political ad will revive Asia bashing

Criticism of a Senate campaign ad in Michigan featuring a young Asian woman talking in broken English about China taking away American jobs grew Monday as some warned it could revive discrimination against Asian-Americans.

Michigan has seen its share of Asia bashing, especially in the 1980s, when images of sledgehammers smashing imported cars were common. Republican Senate hopeful Pete Hoekstra began taking heat after his ad targeting Democratic incumbent Debbie Stabenow ran statewide Sunday before the Super Bowl.

"Mr. Hoekstra may believe that his ad is just a way to express his political goals. But it does so in a manner that points the finger at Asian-Americans and Pacific Islanders for our nation's problems," said Thomas Costello, president and CEO of the Michigan Roundtable for Diversity and Inclusion, a 70-year-old civil rights organization in Detroit. Associated Press