PAUL VOLCKER IS IN THE NEWS...AGAIN

PAUL VOLCKER 

SOUNDS THE ALARM 

PAUL A. VOLCKER AS 

CHAIR OF THE 

FEDERAL RESERVE SYSTEM 

Published in Business Week, March 26, 1984, p. 30 

To Be Continued 

PAUL VOLCKER CELEBRATES EIGHTY-FIVE

PAUL A. VOLCKER 
b. September 5, 1927 

PAUL VOLCKER 

as 

Chair of the Federal Reserve Board 

For more Volcker, see here and here 

PAUL VOLCKER IN THE NEWS -- AGAIN

THE VOLCKER RULE

IS IN THE NEWS

AGAIN

PAUL VOLCKER

AS CHAIR OF

THE FEDERAL RESERVE BOARD

Published in the February 20, 1984, issue of

BUSINESS WEEK (p. 28)

Volcker's time as Fed Chair seems to grow brighter as that of his two immediate successors, Alan Greenspan and Ben Bernacke, becomes more problematic, and Volcker is still around to enjoy it. Having supported Senator Obama at a time when the Illinois Democrat did not have much of a financial track record, he might have hoped for a substantive response to his insights, and perhaps even a substantive role in the new presidential administration. One way or another -- Obama's weaknesses or others' cleverness (see here and here) -- Volcker failed to prevail. His compensation was The Volcker Rule (handy for symbolic purposes for President Obama too).

Now that the Rule has been embodied in a 298-page piece of legislation, and the banks are starting to protest against the regulations it seeks to impose, Paul Volcker has spoken out. Some of the coverage of what the former Fed Chair is advocating, and the pushback, can be found here and here and here. There is also a lot of the history to be found in Ron Suskind's new book, CONFIDENCE MEN (Wall Street, Washington, and the Education of a President).

SUMMERS SIGNS OFF: OBAMA LOSES/SHEDS ANOTHER ECONOMIC ADVISER

PRESIDENT OBAMA'S 
DIRECTOR OF THE 
NATIONAL ECONOMIC COUNCIL 

LAWRENCE H. SUMMERS 

IS TO LEAVE 

TO RETURN TO HARVARD AND -- ? 

Some of the commentary: "Summers is the prism through which the president sees economic policy. It is he who presents the regular morning economic briefings, synthesising and summing up the reports, statistics and views of other economic experts. He even blocked the revered former chairman of the Federal Reserve, Paul Volcker from having direct access to the president. Everything has to be filtered, and he is the filter." (BBC)

"Summers, known for his abrasive style, has not been the best communicator of the administration's economic policies. His departure would allow Obama to bring in a new public face for his economic agenda." (Reuters) 

"So far we know that Mr. Summers will leave his post as the director of the National Economic Council to resume teaching at Harvard. But he was also known for spending some time on Wall Street, specifically the hedge fund D. E. Shaw, from which he collected a $5 million paycheck in 2008. 

"Mr. Summers also picked up $2.7 million in fees for speaking to Wall Street firms." (New York Times) 

More Summers 

PAUL VOLCKER IN THE NEWS

PAUL VOLCKER

IN THE NEWS

PAUL VOLCKER AS CHAIR OF

THE FEDERAL RESERVE BOARD

Paul Volcker is back in the news, almost a generation

after he left as head of the Fed, after Alan Greenspan

took it on, and after Greenspan gave way to Ben

Bernanke. Having passed him over a more substantive

position, President Obama gave Volcker a title and a "rule,"

the "Volcker rule."

The New Yorker profile is generating a lot of buzz,

even as it seems evident that Volcker was as much

used as useful in trying to bring about financial reforms.

As John Cassidy writes in that profile: "On January 21, 2010, President Obama, with Volcker towering over his right shoulder in the White House’s Diplomatic Reception Room, urged Congress to enact 'a simple and common-sense reform, which we’re calling the Volcker rule—after this tall guy behind me.' Volcker smiled and looked sheepish. The term hadn’t been in the speech draft that the White House had forwarded to Volcker’s office the previous night. David Axelrod, the President’s political adviser, had inserted it at the last minute, framing it with some populist language about the 'army of industry lobbyists' that was fighting reform. 'The Volcker rule' immediately entered the political lexicon, thus associating the White House with a figure known for his independence and integrity. 'The other advantage of it,' Volcker joked to an associate, 'is that if it doesn’t fly they can throw me under the bus.'" (More here.)