Geithner, Summers Leading Search for Successor to Fed’s Kohn

[Joanne98]

Source: Bloomberg

March 2 (Bloomberg) -- The search to fill vacancies at the Federal Reserve is being led by President Barack Obama’s Treasury secretary and chief economic adviser, indicating Chairman Ben S. Bernanke will get support for his policies as he tries to sustain growth while withdrawing monetary stimulus.

Donald Kohn, 67, said yesterday he will leave when his four-year term as vice chairman ends in June. Timothy Geithner, a former New York Fed president, and Lawrence Summers, director of the National Economic Council, are conducting the search to replace him and fill two other vacancies on the Fed board, said an official familiar with the discussions who requested anonymity to talk about internal deliberations.

Geithner, 48, has proposed expanding the Fed’s oversight of large financial firms in a regulatory overhaul, while Summers, 55, said in an interview last month that the Fed’s independence is “crucial” to keeping inflation low and maximizing job growth. Obama’s nominees are likely to back Bernanke, said former Fed governor Lyle Gramley.

“They will fit in well with the Fed and come to be supporters of Bernanke and the policies he’s trying to follow,” said Gramley, now senior economic adviser with Potomac Research Group in Washington.

Possible Kohn successors, according to Fed watchers and former officials, include Fed Governor Daniel Tarullo, 57, who’s backed tougher bank regulation; Christina Romer, 51, an architect of the administration’s 2009 fiscal stimulus; and San Francisco Fed President Janet Yellen, 63, one of the central bank’s top advocates of lower interest rates.


Read more: http://www.bloomberg.com/apps/news?pid=20601087&sid=a6kDhLnSfF8w&pos=5

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We need more progressive financial blogs. There are three seats open at the Fed and we aren't being represented at all.

[SlingBlade]

1. Geithner & Summers huh. Why are these two Rand Disciples still

allowed to run their mouths after the one true economic god, Their mentor
Alan Greenspan admitted that his world view, their world view was just Wrong ?
Are we allowing them yet another shot.

Why ?

The Warning, PBS Frontline
"Amidst the 1990s' bull market, there was one lone regulator who warned about derivatives' dangers -- and suddenly became the enemy of some of the most powerfull men in Washington, DC.
http://www.pbs.org/wgbh/pages/frontline/warning/

The Gods of Wall Street

[scentopine]

2. Liberals need not apply, we would be too conservative...

with other peoples money.