T<\/p>\n
Paul Krugman For The Fed
\nwith 112 comments
\nThe case for Ben Bernanke\u2019s reappointment was weak to start with, weakened with his hearings, and is now held together by string and some phone calls from the White House. Bernanke is an airline pilot who pulled off a miraculous landing, but didn\u2019t do his preflight checks and doesn\u2019t show any sign of being more careful in the future \u2013 thank him if you want, but why would you fly with him again (or the airline that keeps him on)?
\nThe support for Bernanke in the Senate hangs by a thread \u2013 with Harry Reid providing a message of support, albeit lukewarm, after the markets close. The White House is telling people that if Bernanke is not reconfirmed there will be chaos in the markets and the economic recovery will be derailed. This is incorrect.
\nThe danger here is uncertainty \u2013 the markets fear a prolonged policy vacuum. Fortunately, there is a way to address this. Ben Bernanke should withdraw and the president should nominate Paul Krugman to take his place.
\nvia Paul Krugman For The Fed \u00ab The Baseline Scenario<\/a>.<\/p><\/blockquote>\n","protected":false},"excerpt":{"rendered":"T Paul Krugman For The Fed with 112 comments The case for Ben Bernanke\u2019s reappointment was weak to start with, weakened with his hearings, and is now held together by string and some phone calls from the White House. Bernanke is an airline pilot who pulled off a miraculous landing, but didn\u2019t do his preflight … <\/p>\n