While the Senate Banking Committee voted to back Ben Bernanke’s second term as Federal Reserve chairman in December, the Senate as a whole must vote on this issue before January 31, and some believe this looming deadline won’t be met.
If the Senate fails to meet the deadline, Bernake will need to temporarily step down as chairman, and Donald Kohn, the vice chairman, will likely serve as acting chairman. Some, however, are pushing for a temporary extension.
Causing the delay are Senators Jim DeMint and Bernie Sanders, both of who have placed holds on the vote. Senator Chris Dodd has urged that the Senate not delay on the confirmation process.
Comment: Not that it matters who runs the Fed anyway; whether its Bernanke or someone else, the Fed will continue to expand the monetary base and distort the economy.