Post by unlawflcombatnt on Sept 15, 2013 8:40:19 GMT -6
from Newsmax.com
www.newsmax.com/Newsfront/obama-summers-fed-democrats/2013/09/15/id/525716
Democrats Set to Rebel if Obama Taps Summers for Fed
Sun, Sept 15, 2013
by Cathy Burke
"Opposition is mounting against Lawrence Summers as a possible pick for the next Federal Reserve chairman – with four Democrats on the Senate Banking Committee expected to vote "no" if President Barack Obama nominates him.
Jon Tester on Friday became the latest member to announce his opposition.
"Senator Tester believes we need a consensus builder to lead the Federal Reserve. He's concerned about Mr. Summers' history of helping to deregulate financial markets," said Andrea Helling, spokeswoman for the Montana Democrat.
Tester also suggested Summers is far more chummy with Wall Street than Main Street.
Summers was President Clinton's Treasury secretary, and his backing for banking deregulation in the 1990s has been blamed for sowing the seeds of the 2007-2009 financial crisis that ultimately led to a massive taxpayer bailout of Wall Street.
"The senator thinks it is vital to have a chair who appreciates the important role small community lending institutions play in financial markets," his office said.
Summers, 58, currently a Harvard professor and former economic adviser to Obama, is widely thought to be the president's preferred choice to replace Fed Chairman Ben Bernanke when his term ends in January.
The White House said Friday the president had not yet made a decision.
Tester, considered a political centrist, joins at least 3 other Democrats on the Senate Banking Committee expected to nix a Summers nomination.
Congressional aides have said Sens. Jeff Merkley of Oregon, Sherrod Brown of Ohio, and Elizabeth Warren of Massachusetts also would oppose the pick, the Wall Street Journal reported.
In Warren's case, Summers had gone as far as asking for a meeting with her when both were in Massachusetts this summer, the Washington Post reported.
The meeting never happened because of scheduling issues, but the outreach underscores the behind-the-scenes push to install Summers in the top post at the central bank, the Post noted.
Democrats hold a 12-10 advantage on the banking panel, and the intensifying opposition from Democrats would make it impossible for Summers to advance without GOP support, the Journal noted.
Meanwhile, Summers has already suspended ties with Citigroup Inc. while the White House considers his nomination....
Fed Vice Chair Janet Yellen is another possible candidate for the job – and she's got the backing of 20 Senate Democrats who've signed a letter urging Obama to nominate her. Tester was not among them.
Yellen would be the 1st-ever woman to lead the U.S. central bank, if nominated and confirmed.
Liberal opposition may make it harder for Obama to conclude he can nominate Summers at a time when the president needs their support on tough issues including a deal to raise the U.S. debt ceiling and to keep funding the government."
www.newsmax.com/Newsfront/obama-summers-fed-democrats/2013/09/15/id/525716
Democrats Set to Rebel if Obama Taps Summers for Fed
Sun, Sept 15, 2013
by Cathy Burke
"Opposition is mounting against Lawrence Summers as a possible pick for the next Federal Reserve chairman – with four Democrats on the Senate Banking Committee expected to vote "no" if President Barack Obama nominates him.
Jon Tester on Friday became the latest member to announce his opposition.
"Senator Tester believes we need a consensus builder to lead the Federal Reserve. He's concerned about Mr. Summers' history of helping to deregulate financial markets," said Andrea Helling, spokeswoman for the Montana Democrat.
Tester also suggested Summers is far more chummy with Wall Street than Main Street.
Summers was President Clinton's Treasury secretary, and his backing for banking deregulation in the 1990s has been blamed for sowing the seeds of the 2007-2009 financial crisis that ultimately led to a massive taxpayer bailout of Wall Street.
"The senator thinks it is vital to have a chair who appreciates the important role small community lending institutions play in financial markets," his office said.
Summers, 58, currently a Harvard professor and former economic adviser to Obama, is widely thought to be the president's preferred choice to replace Fed Chairman Ben Bernanke when his term ends in January.
The White House said Friday the president had not yet made a decision.
Tester, considered a political centrist, joins at least 3 other Democrats on the Senate Banking Committee expected to nix a Summers nomination.
Congressional aides have said Sens. Jeff Merkley of Oregon, Sherrod Brown of Ohio, and Elizabeth Warren of Massachusetts also would oppose the pick, the Wall Street Journal reported.
In Warren's case, Summers had gone as far as asking for a meeting with her when both were in Massachusetts this summer, the Washington Post reported.
The meeting never happened because of scheduling issues, but the outreach underscores the behind-the-scenes push to install Summers in the top post at the central bank, the Post noted.
Democrats hold a 12-10 advantage on the banking panel, and the intensifying opposition from Democrats would make it impossible for Summers to advance without GOP support, the Journal noted.
Meanwhile, Summers has already suspended ties with Citigroup Inc. while the White House considers his nomination....
Fed Vice Chair Janet Yellen is another possible candidate for the job – and she's got the backing of 20 Senate Democrats who've signed a letter urging Obama to nominate her. Tester was not among them.
Yellen would be the 1st-ever woman to lead the U.S. central bank, if nominated and confirmed.
Liberal opposition may make it harder for Obama to conclude he can nominate Summers at a time when the president needs their support on tough issues including a deal to raise the U.S. debt ceiling and to keep funding the government."