Diane Swonk, Chief Economist
Dec. 17, 2009 – 10:40 a.m. CT
Bernanke Confirmation
Moments ago, the Senate Banking Committee voted 16-7 – a much smaller margin than expected – to reconfirm Ben Bernanke as chairman of the Federal Reserve. Those voting against Bernanke's confirmation openly used him as a scapegoat on the eve of their own push for re-election, while simultaneously arguing that there was no one else whom they would support to do the job.
So they would just leave the seat open? Lovely.
Although today was just the vote of the Banking Committee – the actual confirmation is yet to be voted on the floor of the full Senate – it still underscores how poorly Congress understands both economics and economic policy. I have briefed many on the Hill over the years, but have never before seen the level of ignorance I see on both sides of the aisle today.
Am I mad? Yes! Ben Bernanke did more than any one individual to blunt the pain endured over the last year. He is no prince, and I have criticized him myself. However, it is easier to be an armchair Fed Chairman than to do the job at hand, a job which Bernanke did better than anyone else I can think of who might have been in his position.
Election-year politics make for very bad economic policy.
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