Tim Geithner, President of New York Federal Reserve Bank, Likely Choice for Treasury Secretary
And the Dow rose by nearly 500 in the last hour on the news. so some folks are happy about the choice. He seems to be a solid pick despite the “stigma” of having been part of the old Clinton team. Steve Benen references a couple of good discussions of the guy from Noam Scheiber and Robert Kuttner. In particular he has called for a lot stronger regulation of those stinky derivatives:
Perhaps most importantly, Kuttner noted a speech Geithner delivered to the Economic Club of New York last June, calling for a far-tougher regulatory policy to alter “the level and concentration of risk-taking across the financial system.” He got quite specific, saying regulators “need to make it much more difficult for institutions with little capital and little supervision to underwrite mortgages.” Reassuringly, Kuttner described the remarks as “a blueprint for fundamental overhaul,” which is what’s necessary given the need for a new financial architecture.