January 10, 2014

Friday Fed Nominations

By In Blogs
Robert Wenzel at Economic Policy Journal writes:
This is how the news is coming across the wire at WSJ:

-White House preparing to nominate Stanley Fischer as next Fed vice chairman

-White House preparing to nominate Lael Brainard as Fed governor

-White House preparing to renominate Jerome Powell to Fed governor seat

-Fischer is former head of Bank of Israel and former IMF deputy head

-White House nominations would fill all empty seats at Fed board

As I have noted before, it is very odd that Fischer will be in the second spot, when he is pretty much considered to be the central banker’s central banker.

The Brainard nomination continues the trend of those with MIT connections landing at the Fed.   Brainard served as Associate Professor of Applied Economics at the MIT Sloan School of Management.

She is also a regular stepping in and out of the crony government-private sector revolving door. She has worked at McKinsey & Company and was Under Secretary of the Treasury for International Affairs.

Powell is works the crony government-private sector revolving door.. He served as an assistant secretary and as undersecretary of the Treasury under President George H. W. Bush, with responsibility for policy on financial institutions, the Treasury debt market, and related areas. Nicholas F. Brady, a former Dillon, Read & Co. colleague, was the then sitting Secretary of the Treasury. Prior to joining the Bush administration, he worked as a lawyer and investment banker in New York City. In 1985, Powell was an Associate at Dillion Read and at the time of his Senate confirmation in September of 1990 he was a Senior Vice President of the firm.

 

Written by C.Jay Engel

Editor and creator of The Reformed Libertarian. Living in Northern California with his wife, he writes on everything from politics to theology and from culture to economic theory. You can send an email to reformedlibertarian@gmail.com