A beaming Volcker stood at Obama's right as the president endorsed his proposal and branded it the "Volcker Rule." Geithner stood farther away, compelled to accommodate a stance he once considered less effective than his own.

What a difference a year makes.

Comments

[Beelzebubba]

Geitner was recently named Volcker spongia csar.

[David Wharton]

Good for Obama.

[justcorbly]

About bloody time.

[bubba]

Clive Crook on Obama's Volcker gambit:

"This is mainly a political initiative, as the FT report notes, and not without political risk. One danger is creating and exposing disarray inside the Obama economic team. The new proposal, good or bad, is a U-turn. Geithner has spent months arguing for a different approach. His days must now be numbered. (In Britain, his position would be described as 'unassailable'.)

The other risk is Volcker himself. If Obama intends to use him as front-man for populist bank-bashing, I'd bet that before long he will regret it. Volcker is forthright, immensely experienced and widely respected. That is why he is so valuable. But he is also apolitical, fiercely independent, and nobody's shill. Not the ideal pitch-man."

[Beelzebubba]

so...he put the ass in unassailable.

i remember volcker preventing the collapse of the west(really) in 1979. My mentor at the time said he postponed it for the next generation. I'm glad volcker is alive to see it. Carter was breathing stupid gas(it's called algoreum today) and decided to stop shipping grain and freeze soviet bloc assets because they invaded a country that the neocons wanted to invade. The rest of the world said "whiskey-tango-foxtrot, the Russians owe us 80 @!#$% billion!" Paper plunged. Metals soared. 80 billion default possibilty among paper holders caused worldwide epidemic underwear stains. Fed tightened. Rates went up 3 points in a month. Good for some if they could lock in. Bad for most. This was <10 years into the fiat experiment. Carter had previoulsy frozen Iranian assets because Iranians with no assets took hostages. The world was already spooked and mystified by the effects of the unknown gas. I hope Volcker took notes.