According to the WSJ, Treasury Sectretary Tim Geithner has the president’s ear on whether to replace Fed Chairman Ben Bernanke, whose term expires in January 2010.
Treasury Secretary Timothy Geithner is expected to play a key role in advising President Barack Obama on whether to reappoint Mr. Bernanke. Mr. Geithner has worked closely both with Mr. Bernanke and with the leading alternative for the powerful post — Lawrence Summers, the former Treasury secretary, who is currently the president’s top economic adviser.
Before making a decision later this year, the White House also is expected to look at other economists, including Roger Ferguson and Alan Blinder, former Fed vice chairmen; Janet Yellen, president of the San Francisco Federal Reserve Bank; and Christina Romer, chairman of Mr. Obama’s Council of Economic Advisers.
A couple of weeks ago Warren Buffett praised the Fed Chairman, saying the U.S. couldn’t do better than to have Bernanke on board during this recession. So far Obama has offered Bernanke praise for his performance, but little else.