Bernanke Selected to Head Federal Reserve

Investor's Business Daily

As Federal Reserve Chairman AlanGreenspan prepares to step down onJanuary 31, 2006, President Bush has nominatedformer Federal Reserve governorBenjamin Bernanke as Greenspan's successor.Bernanke currently serves as chairmanof the President's Council ofEconomic Advisers, and was previouslyHoward Harrison and Gabrielle SnyderBeck Professor of Economics and PublicAffairs and chair of the economics departmentat Princeton University. According to, Bernanke is aproponent of setting a specific and publictarget for inflation, which would help themarkets know where the fed is headedwith interest rates. However, there aresome detractors to Bernanke's plan, includingAlan Greenspan, who feels thatinflation targets would hinder policymakers.While his lack of firsthand experiencein the financial sector is a possible causefor concern, his extensive and exceptionalacademic record and his experience as apolicymaker lead most to believe he will bea very successful Fed Chairman.