This Day On The Street
Continue to site right-arrow
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
TheStreet Open House

Jack Yellen Would Have Been Appointed Last Month

NEW YORK ( TheStreet) -- Larry Summers has withdrawn his name as a potential candidate for Chairman of the Federal Reserve, even though he looked to be President Obama's man. Obama, despite all the negative baggage associated with this potential nominee, was likely to name him as the successor to Ben Bernanke.

This baggage included cozy Wall Street relationships, involvement with deregulation that led to much of the financial crisis and then his stepping down at Harvard due to his sexist remarks about women. Obama has already faced criticism from the female vote for his lack of appointments, especially painful since his 2012 Republican opponent Mitt Romney was seen as an enemy to female appointees.

While someone shouldn't be appointed to a high level position just because she's a women, there are certainly qualified candidates. The president must have lost his binder full of women.

"I was one of 100 leaders that sent a letter demanding Obama not appoint Summers," said Amy Siskind, president and co-founder of the New Agenda. She points out there was pressure from many sides not to go with Summers. Even former Obama adviser Christine Romer publicly sided against Summers.

Yet, Obama stubbornly stuck with him. Now that Yellen is looking like the odds on favorite, she is coming under attack.

There is no doubt she is qualified. Yellen is Vice Chairwoman of the Board of Govenors of the Federal Reserve. She's been the President and CEO of the San Francisco Federal Reserve, Chair of the White House Council of Economic Advisors under President Clinton, and on and on. But some are now saying she doesn't have the gravitas for the job. Seriously? With that resume?

"Lacks gravitas is code for a woman," says Siskind. "It is factually incorrect that Yellen lacks gravitas." Another criticism lobbed at Yellen is that she'll just continue Bernanke's efforts and not attempt to back out of quantitative easing. However, these programs will have to be eased out of slowly by whoever takes over for Bernanke. No one can come in with a knife and immediately slice off the easy money.

There is also the belief that Obama will look weak if he picks Yellen. "If he doesn't appoint her, it will be irrational," says Siskind. There aren't any other contenders. Tim Geithner said he didn't want the job. None of the other names floated around seemed to be taken seriously by the White House. So, it looks like it will be Yellen, but the female voters that helped put Obama in the office will not forget this slight. They had to fight against a man with a history of sexist comments versus a woman who was vastly more qualified.

"If her name had been Jack Yellen, she would have been appointed last month," said Siskind.

Sadly Amy, that is probably true.

--Written by Debra Borchardt in New York.



>To contact the writer of this article, click here: Debra Borchardt.

Disclosure: TheStreet's editorial policy prohibits staff editors, reporters and analysts from holding positions in any individual stocks.

Check Out Our Best Services for Investors

Action Alerts PLUS

Jim Cramer and Stephanie Link reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

Jim Cramer's protégé, David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
Try it NOW
Try it NOW
Try it NOW

Check Out Our Best Services for Investors

Dividend Stock Advisor

Jim Cramer's protégé, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Options Profits

Our options trading pros provide over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • Actionable options commentary and news
  • Real-time trading community
Try it NOW
Try it NOW
Try it NOW
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!

Markets

DOW 17,191.37 -195.84 -1.13%
S&P 500 2,002.16 -27.39 -1.35%
NASDAQ 4,637.9940 -43.5030 -0.93%

Partners Compare Online Brokers

Free Reports

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs