Search Blog Posts

Sunday, December 29, 2013

CFR Pushes, Praises Its Own Stanley Fischer for No. 2 Spot at Fed

Written by  William F. Jasper
It’s no surprise that the globalist brain trust at the Council on Foreign Relations is thrilled that Stanley Fischer (CFR member; shown) is set to hold the No. 2 spot at the Federal Reserve, behind top Fed designee Janet Yellen (CFR).

Since mid-December, when Federal Reserve Chairman Ben Bernanke held his last press conference as Fed chief, the media focus has intensified on Janet Yellen, who is set to take over the central bank’s reins on February 1 — provided she passes the Senate confirmation vote scheduled for January 6, 2014. Another name that will increasingly figure in financial news is Stanley Fischer, who appears to be the choice of the White House, Wall Street, and international banking elite to take Yellen’s former slot as vice chairman at the Fed.

Since the second week of December, when the White House unofficially leaked its choice of Fischer, the establishment media have been celebrating the selection. The Yellen-Fischer according to mainstream-media enthusiasts is the “dream team” of the “New Keynesians.” On December 23, Harvard econ professor Jeffrey Frankel (CFR) authored a column for Project Syndicate (the left-wing syndication service financed by George Soros, a CFR member, former CFR director, and CFR President’s Circle donor) entitled, “Fischer, the Fed, and US Growth,” which begins:

Now that Janet Yellen is to be Chair of the US Federal Reserve Board, attention has turned to the candidate to succeed her as Vice Chair. Stanley Fischer would be the perfect choice, given his unique combination of skills, qualities, and experience. 

Project Syndicate feeds columns to hundreds of newspapers and websites worldwide, guaranteeing that Frankel’s glowing pro-Fischer piece would get plenty of play. The Guardian (of London), for instance, ran it on December 27, with a new title: “Why Stanley Fischer is a great choice for the Federal Reserve."

A couple of weeks earlier, on December 12, the New York Times provided a gushing tribute entitled “Young Stanley Fischer and the Keynesian Counterrevolution” by Binyamin Appelbaum. The Times reminds its readers that Fischer helped revive Keynesian economics and make it once again fashionable, after it had fallen into disfavor among “mainstream” economists, in the 1970s. Appelbaum writes: 

Stanley Fischer, who may join Janet L. Yellen atop the Fed, is now a respected elder among monetary economists, but he began his career as an insurgent.

As with all successful revolutionaries, success has obscured the revolution. Consider the 1977 paper for which he is most famous. It helped to transform the practice of monetary policy, creating the world in which Ben S. Bernanke has operated, but its opening lines sound like conventional wisdom, which now it is. 

Fischer was doctoral adviser to Ben Bernanke, Jeffrey Frankel and many other Ph.D. candidates at MIT in the 1970s. He also had an impact on Yellen, who, as an economics professor at the University of California, Berkeley, adopted much of his Keynesian viewpoint.

Bloomberg News featured an editorial on December 15 puffing the “guidance” Fischer could offer Yellen at the Fed. According to the Bloomberg piece: 

On basic ideology, the two are in sync. They’re “New Keynesians” who support aggressive monetary stimulus when needed, including by unorthodox means such as quantitative easing. (Fischer has described QE as “dangerous” but “necessary.") They most likely agree on the need for caution in withdrawing stimulus in the U.S. while unemployment is still high and inflation low. 

Bloomberg dependably channels the pro-Fed, globalist line of the CFR, which is not surprising, considering that the company’s founder/owner Michael R. Bloomberg (billionaire left-wing Democrat/Republican/Independent mayor of New York City) is a longtime CFR member and the company is a high-level President’s Circle corporate donor to the CFR.

One of the early clues that Fischer was about to be tapped for a top slot at the Fed was a press release issued by the CFR on September 9, three months before any public mention of the appointment. The title of the press release spoke volumes: “Stanley Fischer, Former Bank of Israel Governor and Former IMF and World Bank Official, Joins CFR as Distinguished Fellow.” ...
Finish reading =>