– Glenn Hubbard, Gregory Mankiw Would Be Considered Candidates

By Steven K. Beckner

(MNI) – Although his top economic advisor has said Ben Bernanke
should be considered for a third term as Federal Reserve chair,
Republican presidential candidate Mitt Romney Thursday stuck to his
previously stated position that he would seek a new Fed chief.

Romney’s top economic advisor Glenn Hubbard, dean of the Columbia
Business School, told MNI Wednesday that Bernanke has done “a good job”
and, in his view, should be considered for reappointment when his
four-year term as Fed chair expires in January 2014.

Hubbard emphasized it would be up to Romney if he should defeat
President Barack Obama in the Nov. 6 presidential election.

Romney, interviewed on Fox Business Network, said he values
Hubbard’s advice but essentially reaffirmed what he has said in the
past: that he would be looking to replace Bernanke.

He indicated Hubbard, as well as Harvard economics professor
Gregory Mankiw, might be considered as possible successors, but said, “I
haven’t considered a single person at this point.”

“Well, I always listen to people who have counsel and advice,”
Romney said when Fox’s Peter Barnes asked him about Hubbard’s comments.
“But my view has been that I would want to select someone who was a new
member, a — excuse me, a new person to that … chairman’s position,
someone who shared my economic views, that I thought was sympathetic to
the needs of — of our nation.

“And I want to make sure that the … the Federal Reserve focuses
on … maintaining … the monetary stability that leads to a strong
dollar and confidence that America is not going to go down the road that
other nations have gone down, to their peril,” Romney went on.

Romney echoed Hubbard in arguing against further monetary easing —
something that the minutes of the Aug. 1 Federal Open Market Committee
meeting suggested Wednesday is quite possible.

“You know, I don’t think QE2 was terribly effective,” the former
Massachusetts Governor said. “I think a QE3, another — another federal
— Fed stimulus, is — is not going to help this economy. I think
that’s the wrong way to go.”

“I think it also cedes the … kind of potential for … inflation
down the road that would be harmful to the value of the dollar and —
and I think harmful to the stability that — that our nation needs,”
Romney added.

Asked whether he might nominate Hubbard to succeed Bernanke, Romney
was noncommital.

“You know, I haven’t considered a single person at this point,” he
said. “I’ve given no names any thought or — or deliberation. When the
time comes to appoint a new Fed chairman, why, I will … give that a
full analysis.”

“But I … don’t know anyone to … write into that slate right now
or any to write out,” Romney continued. “But, of course, Glenn is a …
wonderful economic adviser; Greg Mankiw, also, from Harvard, likewise an
excellent economic adviser. And there are many across the nation who I
would want to consider for — for any appointment of that magnitude.”

** MNI **

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