The campaign for who will be the next Fed chairman is now well under way. The front runners are Bernanke, Summers, and Yellen with an occasional nod to Blinder. In my opnion, we should immediately cross off the first two. The choice is really between Yellen and Blinder. What has Yellen done recently? The highly successful and popular “Cash for Clunkers” programs is a very pragmatic and smart solution to a real problem. This is Blinder’s baby and he should hire some lobbyists or something to help him market that fact. Everyone knows the “Cash for Clunkers” program but how many people know that Alan Blinder is the guy behind it and how many of those people know that Bernanke’s term at the Fed is ending and Blinder is a candidate to replace him?
Being smart is not good enough. Alan Blinder needs better marketing if he wants to be the next Fed chairman. I think he should be.
Yesterday, I started a personal campaign to nominate Alan Blinder to be the next Fed Chairman in the hopes that someone picks up the torch and carries it further than I can.
Today, a story appeared on Bloomberg confirming my fears:
Lawrence Summers, the former Treasury secretary who heads Obama’s National Economic Council, has been mentioned as a possible successor should Bernanke not be re-nominated.
It would be a tragedy if that happens.
Speaking of a “voice of reason”, I stumbled onto a very good Charlie Rose segment from last week with Alan Blinder, Alan Auerbach, and David Leonhardt:
Alan Blinder would make a fantastic Fed Chairman.
Bernanke’s term as Chairman of the Federal Reserve ends on January 31, 2010. There seems to be a silent understanding that there are two possible outcomes:
- Summers slips into the role
- Bernanke stays
Both of these outcomes would be dreadful. It is not too early to start making noises now. The one person that stands out in my mind who should be the next Fed Chairman is Alan Blinder. Hands down. Throughout this crisis, he’s been a voice of reason. Bernanke, on the other hand, has been a bumbling disappointment.
I hope we can start a discussion early so that people are well informed ahead of time. These are challenging times and we need someone at the Fed we can feel confident about.
My vote would be to nominate Alan Blinder for Chairman of the Board of Governors of the Federal Reserve. Help make it happen.