Senators, Economists Lobby For Yellen To Be Fed Chairman

The Transcript and Podcast
 Asked about the decision last month, Obama pointed to the Fed's twin goals of maximizing employment and keeping inflation in check. Those competing priorities can pull the Fed in opposite directions. For now, though, Obama argues inflation is not the problem.

 Supporters say that's why the president should promote the Fed's current vice chair, Janet Yellen, to the top job. Economist Joyce Jacobsen of Wesleyan University coauthored a letter signed by more than 500 economist urging Obama to pick Yellen. She points to Yellen's prescient early warnings about the housing and financial crises and her long-time interest in combating unemployment.

JANET YELLEN: These are not just statistics to me. We know that long-term unemployment is devastating to workers and their families.

YELLEN: Whenever the economy is weak and is gaining strength, what is the right time and what is the right amount to take away the punch bowl so that the boom that we hope is coming doesn't get out of hand and turn into the next inflation cycle?

Economist Joyce Jacobsen of Wesleyan University coauthored a letter signed by more than 500 economist urging Obama to pick Yellen. She points to Yellen's prescient early warnings about the housing and financial crises and her long-time interest in combating unemployment.