Senators Question Obama’s Nominee For Fed Chair

Janet Yellen would be first woman to lead the central bank

  • Share
  • Read Later
Jacquelyn Martin / ASSOCIATED PRESS

Janet Yellen, of California, President Barack Obama's nominee to become Federal Reserve Board chair, is sworn in on Capitol Hill in Washington.

Democrats praised President Barack Obama’s choice to lead the Federal Reserve on Thursday, while Republicans expressed skepticism, but not outright hostility, of her nomination.

During a confirmation hearing before the Senate Committee on Banking, Housing, and Urban Affairs, South Dakota Sen. Tim Johnson, the committee’s Democratic chairman, called Janet Yellen “an extraordinary candidate” to lead the central bank.

“I’m excited to cast my vote to confirm her as the first woman to serve as chair for the Federal Reserve,” Johnson said of Yellen, currently the Fed’s vice chair.

Idaho Sen. Mike Crapo, the ranking Republican on the committee, said Yellen has important questions to answer before she is confirmed, underscoring GOP concerns that she will continue the stimulative monetary policy of current Fed chair Ben Bernanke. Conservatives fear the Fed’s so-called “quantitative easing” program of buying bonds is raising the risk of inflation, even though inflation has stayed at historic lows.

“The Fed has engaged in unprecedented policies,” Crapo said. “It’s essential to know how Dr. Yellen, if confirmed, would handle the process of normalizing our economic policy.”

“Can it just continue indefinitely?” Crapo asked Yellen of quantitative easing at one point. Yellen responded that the Fed’s governing board will continue to examine the pace of the economic recovery regularly, and act accordingly.

In her prepared testimony, Yellen said that continued monetary stimulus is needed.

“I believe that supporting the recovery today is the surest path to returning to a more normal approach to monetary policy,” she said.

Bernanke is stepping down after two 4-year terms.


Recall what Pres. Obama inherited. Thanks to the GOP-lead bank deregulation and Phil Gramm legislation that enabled the subprime mortgage bankster fraud Wall St. went down and took the job-creating housing industry/market with it taking $15 trillion from Americans, 4+ million homes, 9 million homes underwater, 9 million jobs on top of the five million manufacturing jobs under Bush-Cheney alone shipped overseas or to Mexico while $400+ billion in tax revenues went uncollected annually from thousands of offshore corporate tax dodgers. Bush and Paulson, former Goldman-Sach CEO, did not want to bail out Lehman Brothers which triggered a domino effect of bank failures and then turned around and gave the banks a blank check of $700 billion.

When Pres. Obama came into office the DOW was 6,949 and 880,000 jobs were lost in 1/09. With virtually no help from the GOP, the banks were successfully bailed out as was the auto industry, and the ARRA was also successful and 7.5 million jobs have been regained. Since 2010, the GOP have essentially crippled Congress with an all-time record of 430+ blocked bills, blocked appointments, and unprecedented 60-vote super majority requirements as the GOP's goal was not to create jobs and improve the economy which they instead hurt but to unseat the President and to block everything proposed by the President and the Democrats as the GOP put partisan politics ahead of the good of the country.

They have no real objections to the qualifications of  Yellen or the other appointees to the DC circuit court and other nominees presently being held up. For them it is all about power and control as they always abuse their power in office at both the fed and state levels. Meanwhile if nobody has noticed despite the GOP obstructionism Wall St. is at a record high of 15,800, corporations are making all-time record profit while enjoying the highest worker productivity and still the greedy GOP want to hang on to their tax breaks and subsidies for the rich while cutting programs for the poor. The GOP are morally bankrupt having sold their souls for money long ago they dull GOPeon supporters merely sold out for a pittance and still blindly support the GOP out of bigotry, anger, fear, and selfishness though the GOP has historically NEVER represented them.

Notice that the GOP has passed the fewest bills of any modern Congress but waste taxpayers money with senseless political posturing and pass legislation never enacted into law like their wasted 46 House votes to repeal or kill the ACA, plus the endless hearings trying desperately to trump up opposition against the President. Heard of any hearings to recover the hundreds of billions wasted in Afghanistan and Iraq based upon lies, arrogance, incompetence and war profiteering greed in 20+ years of combined unpaid-for wars projected to cost $6 trillion as the lifetimes of war bills and costly VA healthcare come in?

Republicans are truly the enemy of the people and Judgment Day cannot come soon enough for them.