Why Obama Doesn’t Want Yellen
Posted at 9:45 a.m. on Aug. 21
While it has been widely reported that President Obama and his economic team favor Larry Summers as the next head of the Federal Reserve, Neil Irwin looks at those qualities of Fed Vice Chair Janet Yellen that could also be turning off the White House.
“When she arrived at the Fed as its No. 2 official in 2010, Yellen carved out a different kind of role from her two immediate predecessors in the job… Yellen has a perfectly solid relationship with Bernanke, as best as I can tell, but she’s more of her own thinker within the institution… So what does that have to do with how Obama’s advisers might view her? They are big on the team player concept.”
“A second, and related, reason that Yellen’s leadership style isn’t a great mesh with the Obamaites is also one of her strengths. She is always meticulously prepared, a careful and systematic thinker who chooses her words carefully… She is methodical, not manic. And the prevailing style of the White House insiders advising on the decision leans a bit more toward manic.”
Brad DeLong is “not at all sure that what Neil has heard is what the White House staff meant for him to hear.”