Vice Chairman of Fed to Retire, Letting Obama Reshape Board

Vice Chairman of the Federal Reserve Board of Governors, Donald L. Kohn, announced his upcoming retirement in June, leaving three vacancies in the current Board of Governors for President Barrack Obama to fill. As per the rules for appointment, President Barrack Obama then would have the opportunity to place his stamp on Fed policymaking as 4 of the 7 members will have been through his appointment. Currently, the major economic issues at hand include staving off inflation, lowering high rates of unemployment and recovering from the recession. It is interesting to see which route President Obama focuses on however the general belief is that he will appoint Keynesian economists with the belief that full employment does not return on its own following a recession. President Obama has the opportunity to make a lasting impact on economic policy with this chance to select 3 new members and it will be interesting to see what he prioritizes under an ever-watchful public eye.