The New York Times has an article posted presenting the content of Trump’s short list of a half dozen potential nominees to the top post at the Federal Reserve that was provided by anonymous sources. According to the article, the list consists mostly of usual suspects from the GW Bush administration and represents at least four sure fire opportunities to violate campaign promises of jobs and opportunity:
The White House has created a list of about a half-dozen candidates to be the next leader of the Federal Reserve, including its current chairwoman, Janet L. Yellen, and the president’s chief economic adviser, Gary D. Cohn, according to two administration officials and a third person with knowledge of the process.
The list also includes Jerome H. Powell, a member of the Fed’s board of governors; Kevin Warsh, a former Fed governor; and the Stanford University economist John B. Taylor, the officials said.
Trump’s advisors’ memories must most assuredly be short, forgetting that the economy and financial system was on the verge of collapse in 2008 as GW Bush was headed out the door, an indication that certain aspects of economic performance most directly influenced by government, especially monetary policy, may have lacked appropriate advisement and stewardship. The list consists of more than half former Bush economic advisers and appointees back for a golden opportunity at a do over in bad policy, graft and mocking Trump’s base caught up in its wake.
I have to admit that I was one of those who believed that in the Trump campaign there was at least a touch of a genuine desire upend the status quo and to try new approaches toward modernization and optimization of economic policy. Yet here we are with only one candidate on the short list for the Chairmanship of the Federal Reserve, Cohn, who may possibly have the potential to be a critical success factor in that effort. I know nothing about him. The rest of the candidates are known quantities who, in my perception, represent merely more of the same demonstrably worn out and failed approaches to monetary policy when we desperately need and deserve a regime change.
With 83% percent of the candidates on this list representing various degrees of more of the same and the habit of pessimism from the Great Recession still at haunt, I am holding out judgement for when the nomination actually takes place, but I question whether there is any reasonable inclination toward optimism for the future.