Ben Bernanke’s nomination for a second term as Chairman of the Federal Reserve may cause some consternation from the Left and Right. The merits of Bernanke’s nomination are not pertinent to this post.
What is pertinent is that Bernanke’s nomination may provide cover for the appointment Denis Hughes as chairman of the Federal Reserve Bank of New York. I’m not paranoid, but the coordinated timing of these announcements is highly suspicious. Conservatives should be very afraid of Denis Hughes.
Denis Hughes is president of the New York State AFL-CIO. He’s been involved with the Fed since 2004, but he’s been involved with the AFL-CIO since 1985. He was a radical and powerful union lobbyist. His record a labor leader is scary. He also has strong ties to the liberal intellectual community at Cornell.
I’m not an economist, but I have a strong understanding of the radical playbook. Radicals recognize they have a window and are exploiting the Obama administration as much as they can. The Obama Administration and Tim Geithner have tremendous leverage over the financial industry. Surreptitious Democrats won’t assert radicals into high profile positions of power until they think the public is ready. They’ll groom a strong “farm system” of talent and place radicals in low key, but highly influential positions of power. They always have a deep bench of radicals lurking. And they are masters of the slight of hand.
The chairman of the Federal Reserve Bank of New York is a strong bench position. That seat was Tim Geithner’s launching pad. And whatever you think of Tim Geithner, all signs indicate that Geithner was much more qualified and moderate than Denis Hughes.
Whether by design or by coincidence, Bernanke’s appointment will provide cover in multiple ways. First, Bernanke was a Bush appointee. Second, Bernanke is an industry insider. Last, the Bernanke nomination will draw more attention. All this will help detract any criticism made of the Hughes appointment and his qualifications and background.
What is the radical President of New York State AFL-CIO doing as the head of the Federal Reserve Bank of New York? I am still researching this. I am also writing this freestyle. Feel free me to school me.