We first expressed our opposition to the reconfirmation of Ben Bernanke as chairman of the Fed on December 24th and again here on Sunday. Since then a wide range of smart economists have argued – at the American Economic Association meetings in Atlanta – that Bernanke should be allowed to stay on.
I’ve heard at least six distinct points. None of them are convincing.
- Bernanke is a great academic. True, but not relevant to the question at hand.
- Bernanke ran an inspired rescue operation for the US financial system from September 2008. Also true, but this is not now the issue we face. We’re looking for someone who can clean up and reform the system – not someone to bail it out further. Continue reading