Rep. Lois Capps, D-Santa Barbara, along with two of her colleagues in Congress, sent a letter to President Barack Obama on Wednesday urging him to nominate Federal Reserve Vice Chair Janet Yellen to head the Federal Reserve when Chairman Ben Bernanke’s term expires at the end of the year.
The letter, sent by Capps, Rep. Keith Ellison on Minnesota and Rep. Raùl Grijalva of Arizona, notes Yellen’s detailed understanding of the monetary process, track record of leadership and management skills as factors that make her an excellent leader of the Federal Reserve.
In addition, the letter highlights Yellen’s work to keep interest rates low to boost employment, as well as the efforts she has led to strengthen consumer protection measures. Yellen “has a track record of prioritizing jobs and consumers over narrow interests,” according to the letter.
“Janet Yellen’s expertise and experience make her the right person for this job,” Capps said. “From her experience as vice chair of the Federal Reserve, to her distinguished resume and deep knowledge and understanding of both our complex financial system and the Fed, Governor Yellen has proven herself time and again and is extremely well equipped to handle this difficult role. Janet Yellen is the best choice for Federal Reserve chair.”
The entire text of the letter is below:
• • •
President Barack Obama
The White House
1600 Pennsylvania Ave. N.W.
Washington, D.C. 20500
As our nation continues to struggle in its recovery from the Great Recession which led to the loss of $17 trillion in wealth, 12 million jobs and the addition of 4 million foreclosures, we urge you to select a new Federal Chairman who will work towards full employment and keep interest rates low. Our new Federal Reserve chair must be committed to prudent regulation, consumer protection, and inclusive prosperity. We believe Janet Yellen is the best choice.
Gov. Yellen is highly qualified. She has more than a decade of experience in the Federal Reserve System. She served as vice chair of the Board of Governors during the recession and the tenuous recovery. She also served as chief executive of the Federal Reserve Bank of San Francisco, the chair of the President’s Council of Economic Advisors under President Clinton and an economics professor at the University of California.
Having served in the number two position at the Federal Reserve, Gov. Yellen is best-prepared for the job. She has the detailed understanding of the monetary process along with the leadership and management skills to enable a smooth process.
Gov. Yellen has a track record of prioritizing jobs and consumers over narrow interests. As president of the Federal Reserve Bank of San Francisco, Gov. Yellen exhibited excellent judgment by warning of the housing bubble and leading efforts to strengthen regulation of the housing and shadow banking sector while others fought such efforts.
Gov. Yellen worked to keep interest rates low in order to boost employment. Her monetary policy experience proved to her that investing for greater economic stimulus can be prioritized without driving up inflation. She is an expert in unemployment at a time when we are more than 2 million jobs behind our pre-recession employment levels and the bulk of new jobs are low-wage jobs. She has demonstrated a clear understanding of the human costs of the recession and the need to act aggressively to lower the unemployment rate that is robbing millions of people of hope for a financially-secure future.
We need a chairman of the Board of Governors who will strengthen the middle class. We urge you to nominate Gov. Janet Yellen to help strengthen our economy and make it work for all Americans.
— Chris Meagher is press secretary for Rep. Lois Capps, D-Santa Barbara.