Congress may not be providing them much help. But Yellen is doing all she can.
The hike in capital requirements isn't nearly enough
The hike in capital requirements isn't nearly enough.
While economists debate about how to measure long versus short-term unemployment numbers, the Federal Reserve should continue to press the gas.
Every year, it gives out "dividends" to commercial banks that serve no purpose.
Analysts are chalking up the recent string of subpar economic data to the weather.
What the maestro doesn't understand
Alan Greenspan went from pragmatic central banker to ideologue. In his memoir, he poses as the former but writes like the latter.
There were plenty of reasons to oppose Larry Summers’s nomination to the Fed, which had seemed inevitable for much of the past few months, before Summers abruptly withdrew from consideration on Sunday. There’s Summers’s famously polarizing intellectual style, which made him a lousy fit for the consensus-driven (and hyper-transparent) Fed.
It has become glaringly obvious over the past couple months that President Obama wants to nominate Larry Summers to become the next chair of the Federal Reserve. According to CNBC’s John Harwood, Obama feels he “owes” Summers for his willingness to serve the country during the first-term response to the Great Recession.
He's a Skilled Operator
When you read about Larry Summers in the press, a certain figure emerges. You hear him described as “controversial” and “polarizing.” The stories about him might include a detail about an un-tucked shirttail or his penchant for long argumentative meetings. These renderings of Larry—with whom I co-taught a class on globalization—lose track of his great strengths.
There are now two, parallel debates taking place outside the White House over President Obama's choice of Fed chair Ben Bernanke's replacement.