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Archive for the ‘Janet Yellen’ Category

It’s all about her background, stupid

There is a long and interesting profile of Janet Yellen, the head of the Federal Reserve, in the latest issue of the New Yorker. As you might expect from this longstanding voice of the liberal New York elite, it paints her in a  sympathetic light, and usefully draws attention to how and where her views about the role of economics and the central bank were formed.  Here is a short extract, in which the author picks up on the fact that her first official public appearance after succeeding Ben Bernanke in the job was carefully chosen to send a message about her priorities:

She had gone to Chicago a few weeks earlier to speak at a conference for neighbourhood revitalisation organisations – not the venue a new Fed chair wouuld ordinarily choose for a maiden speech. Yellen was sending a signal. As she put it that day “Although we work through financial markets, our goal is to help Main Street, not Wall Street”. More than five years after the financial crisis, historically high numbers of Americans are still out of the labor force, working part time when they’d rather be full time, or unemployed for more than six months. Yellen spoke mainly about unemployment, and told the stories of three blue-collar Chiacagoans, two black, one white, who had lost their jobs in the recession. Her staff had found these people for her, and she had spoken to them on the phone before her speech. Two of the three – from Chicago’s desperately poor West Side – had criminal records.

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Written by Jonathan Davis

July 28, 2014 at 4:21 PM