As we enter the second half of the year, rumors are beginning to spread as to who would replace Ben Bernanke in the Fed post come January. When his term ends six months from now, many are interested to see whether the Obama administration would want him to retain the chairmanship or pick a new one. While the chairman has not voiced any interest leaving the post, some of the names that are floating around to serve as options are Larry Summers, SF Fed President Janet Yellen, former Fed vice chairmen Roger Ferguson and Alan Blinder, and Christina Romer, chairman of Mr. Obama’s Council of Economic Advisers.
The White House isn’t rushing to decide on reappointing Mr. Bernanke, who hasn’t sent any signal that he wants to leave the post. The Intrade online wagering Web site puts 60% odds on reappointment. But a bad turn in the economy could prompt Mr. Obama to seek a new helmsman of his own choosing, or new embarrassing revelations about Mr. Bernanke’s handling of the financial crisis could alter the picture before the president makes a decision.
I do agree that now is not the time to be changing leaders. That move should only be reserved for those who failed in the task. I don’t think Ben has. Right at the onset of the crisis, he has displayed a relatively good sense of leadership and his toughness and firmness in facing congressmen during hearings attest that he knows what he’s doing. I ditto what Scott Anderson, an economist from Wells Fargo said about him:
“Bernanke’s leadership during this financial crisis was outstanding, but not flawless. But given human limitations and the limitations of economic and financial knowledge he deserves another tour of duty.”
Read the rest HERE.