Summers takes self out of running for top Fed seat
Sept. 17, 2013 – Lawrence Summers removed himself from the short list of likely presidential picks as next Federal Reserve Board chairman, action that is fueling more talk about the possibility of Fed Vice Chair Janet Yellen being selected to succeed Ben Bernanke.
Bernanke’s term on the Fed Board ends next Jan. 31.
The president issued a statement on the decision by Summers, formerly head of the president’s National Economic Council on Sunday.
“Larry was a critical member of my team as we faced down the worst economic crisis since the Great Depression, and it was in no small part because of his expertise, wisdom, and leadership that we wrestled the economy back to growth and made the kind of progress we are seeing today,” the president said.
About one-third of Senate Democrats wrote the president in July asking him to nominate Yellen as next Fed chairman (Wall Street Journal). Some 350 economists have urged the same, crediting Yellen “for prescience in warning in 2005 about an impending real estate meltdown, for her consensus style of leadership and for her commitment to job growth” (CBSNews.com).
Yellen first joined the Fed Board in 1994 and later chaired then-President Clinton’s Council of Economic Advisers. She later served as president of the Federal Reserve Bank of San Francisco. She was selected by Obama for the post of Fed vice chair in 2010.
If nominated and confirmed, Yellen would be the first woman to serve as chairman of the Fed Board.
Wall Street Journal article
CBS News report