On 10/10/13 9:36 AM, Robert Naiman wrote:
>
> This is a very nice piece, except for three things:
>
> 1. The headline: "Obama picks full-employment advocate Yellen to head
> Federal Reserve." Calling Yellin a " full-employment advocate" seems
> unduly generous/wishful thinking in the context of what the piece
> actually reports.
>

That's really funny. I thought that Naiman was quoting from the NY Times 
article today but it was from the "Communist" Party newspaper. In fact, 
the NY Times makes sure to clue in its ruling class readers what Yellen 
is about despite the article's title "Yellen’s Path From Liberal 
Theorist to Fed Voice for Jobs". So weird to see the newspaper of the 
big bourgeoisie more critical of Yellen than a paper that calls itself 
socialist:

http://www.nytimes.com/2013/10/10/business/economy/for-yellen-a-focus-on-reducing-unemployment.html

Yet it is easy to overstate the changes Ms. Yellen likely would bring. 
She would be the first Democrat to lead the Fed in nearly three decades, 
but a liberal central banker is something different from – and more 
conservative than – a liberal politician. She was instrumental in the 
Fed’s decision last year to declare a target of 2 percent annual 
inflation, and has shown only a very limited willingness to tolerate 
higher inflation.

On regulatory issues, too, Ms. Yellen’s views are closer to those of the 
Obama administration than to those of the left-leaning Democrats most 
fervently seeking her nomination. She believes markets are imperfect and 
require significant regulation. But she favored the emergence in the 
1990s of financial giants like Citigroup and has not supported calls for 
their breakup.

And Ms. Yellen may find her own instincts constrained by the 
increasingly restive minority of Fed officials who want to start pulling 
back from the stimulus campaign.

Richard W. Fisher, president of the Federal Reserve Bank of Dallas – who 
will become a voting member of the Fed’s policy-making committee next 
year as part of a regular rotation – is among those officials. Of Ms. 
Yellen, he said last week, “She’s wrong on policy, but she’s a darn 
good, decent, wonderful person.”





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