Janet Yellen could stay on as a Fed governor — here are four reasons she should
President Donald Trump has chosen not to have Janet Yellen serve a second term as chair of the US Federal Reserve. That, however, doesn’t mean she cannot stay on as one of the Fed’s governors. I see four good reasons for her to do so. The first involves her unique technical expertise. Before entering public service, Yellen was a top-flight academic economist at Berkeley, a background that provides a strong foundation for her thoughts on policy. She is also able to draw upon a great deal of practical experience: she has been on the federal open market committee, which sets the central bank’s monetary policy, for the past 13 years and from 1994 to 1997. No other current governor can match her credentials. And in filling the three vacancies on the board of governors (four if Yellen leaves), Trump won’t be able to find anyone, Democrat or Republican, who can. Second, the Fed needs governors with Yellen’s balanced perspective on the central bank’s dual mandate of maximum employment and p...
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