By Pete Papaherakles
With a new Federal Reserve chairman nomination expected soon, the buzz is on as to who President Barack Obama will appoint to replace current Fed Chair Ben Shalom Bernanke. Will the new chairman be more of the same? Will the whole system collapse on his watch?
The two names that come up most often as possible nominees are former Treasury Secretary Larry Summers and current Fed Vice Chairwoman Janet Yellen. Former Treasury Secretary Timothy Geithner, former Bank of Israel Governor Stanley Fischer and former Fed Vice Chairman Roger Ferguson are also seen as possible candidates.
Depending on whether one believes Obama really gets to appoint whomever he wants to the position, several theories have been entertained. Some feel that Obama tends to favor minorities, in which case Ms. Yellen, a woman, and Ferguson, a black man, have the advantage. Both will be firsts in that position. Others feel Obama tends to nominate people he has worked with closely in the past, in which case Summers and Geithner have the advantage. Insiders feel that Geithner doesn’t really want the job and that he has even been secretly endorsing Summers who like himself is a former treasury secretary and fellow protege of former secretary Robert Rubin.
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Being Jewish seems to be an important credential for the position since all the candidates except Ferguson qualify (although his wife is Jewish). Bernanke is Jewish, of course, as was Alan Greenspan before him. In fact, since the privately-owned-and-controlled central bank’s inception 100 years ago, most of the Fed chairs have been Jewish.
It might have something to do with the fact that the Federal Reserve Bank is a consortium of nine Zionist, Jewish-owned and associated banks with the Rothschilds at the head. By some accounts, the Rothschilds of London hold 57% of the Fed’s stock, which is not available for public trading.
When the chips are down, however, the most likely candidates are Summers and Yellen. According to establishment analysts, Yellen’s disadvantage is that she is considered a bleeding heart. In every chart of “hawks” and “doves” on the Fed—those who live in mortal terror of inflation are “hawks,” while those who worry more about unemployment are “doves”—Yellen is always pegged at the dove end of the scale. Conservatives are worried that she won’t pay close enough attention to inflation.
Summers, on the other hand, has a proven track record for delivering what the Fed owners want. As treasury secretary in 1999, he was responsible for repealing the Glass-Steagall Act, which restricted banks from gambling with their depositors’ money. This was one of the causes of the derivatives-based bubble, which ensued in the early 2000s, whose “popping” brought about the financial collapse of 2008 and today’s economic crisis. Summers was also complicit in destroying Russia’s economy under Boris Yeltsin’s privatizations while his friends profited immensely.
As president of Harvard, Summers lost $2B of the university’s funds in stock market gambling.
And as the architect of Obama’s economic policy, he set a course that drove the United States $9T deeper in debt—more than all previous administrations in the country’s history, combined.
Summers is just the guy the Fed is looking for, as the country is staring into the deepest financial abyss in history. He has both the ruthlessness and calculated recklessness to push the economy off the economic cliff and the political savvy to get away with it. His track record speaks for itself.
Pete Papaherakles is a writer and political cartoonist for AFP and is also AFP’s outreach director. Pete is interested in getting AFP writers and editors on the podium at patriotic events. Call him at 202-544-5977 if you know of an event you think AFP should attend.