Obama names Fischer as Fed vice chair: White House

[Eugene]

Source: Reuters

Obama names Fischer as Fed vice chair: White House

WASHINGTON Fri Jan 10, 2014 10:46am EST

(Reuters) - U.S. President Barack Obama on Friday nominated former Bank of Israel Governor Stanley Fischer and two others to round out the top ranks of the Federal Reserve just as the U.s. central bank begins winding down its historic stimulus.

Fischer, nominated as Fed vice chair, would succeed Janet Yellen, who was confirmed by the Senate on Monday to lead the Fed after Chairman Ben Bernanke's term expires at the end of this month.

Obama also nominated Lael Brainard, who recently served as the Treasury Department's top official for international affairs, to serve on the Fed board. The president further named Fed Governor Jerome Powell to a new term on the board ending in 2028.

One of the world's most prominent economists, Fischer has taught many of the leading lights of the profession, including Bernanke and European Central Bank chief Mario Draghi.

[font size=1]-snip-[/font]

Read more: http://www.reuters.com/article/2014/01/10/us-usa-fed-fischer-idUSBREA090QA20140110

[SaltyBro]

1. Is this seen as a good choice?

I have no idea.

[Vic Vinegar]

2. IMF and World Bank credentials don't help

This is not a good idea. Fischer, was part of Citigroup which is the big company for shelling out the toxic asset called Structured Investment Vehicles. The SIV was largely responsible for Detroit's bankruptcy. The man is a Bilderberger, and whether you are a conspiracy theorist or not the meetings are still highly illegal because the do discuss and develop public policy their and a couple years ago I believe the Washington Post actually reported that the group was involved in picking likely vice presidential candidates. Worse yet, Fischer is from the Reagan-Monetarist-Friedmann Chicago School which means if a taper happens, he might advice Yellen and the board to try deflationary tactics (unlikely but possible from the ideology).

And if that isn't bad enough the man worked for the World Bank and the IMF . If anyone was alive in the 1990s, these two institutions used a method called "shock therapy" which really just lent money at high interest rates and then forced the countries subjected to it to "neoliberalize" and basically wither on the vine because they could not repay the loan. Russia only escaped because Putin was able to create a stabilization fund to pay debts off early but many countries did not escape the worst disintegration of "shock therapy."

In summary, the man is probably 1) a Wall Street puppet who will advise more money shelled out to banks instead of infrastructure or industry projects 2) is an austerity ghoul and will create a Greenspan economy or even worse deflationary measures.

[Vic Vinegar]

3. Also

IF you remember Liz Warren's Bank on Students bill took the subsidy "money" from the federal reserve through credit and not debt. I highly doubt that Fischer would ever allow Yellen to do such a thing because it is not Monetarist or Chicago School. Instead, Liz Warren's bill was actually accidentally borrowing from a lost economic school called the American System which was first introduced by Alexander Hamilton where the National Bank lent credit for infrastructure and industry with very low interest bonds. Monetarists don't like this school because it isn't good for Wall Street or the Chicago Exchange and because they believe that money and value are the same thing.

[SaltyBro]

4. Lol, Vic Vinegar

Awesome username, love that ep.