We've all been marveling for some time at the heretofore comedic possibility that Gary Cohn could be the next Chairman of The Federal Reserve, but with things mutating from the peculiar to the outright bizarre, The Trump Era Fed is now almost half-empty and Gary is holding on by his fingernails to take Janet Yellen's gig this winter.
But lost in all the recent madness is a discussion over whether Gary, a creature of Wall Street with no academic training in economics, is qualified to be America's central banker. One way to evaluate someone's fit for a job is to talk to their previous employer. Luckily for us, Gary's old boss - the Rocky to his Bullwinkle - Lloyd Blankfein spoke via video link to the Handelsblatt Conference in Germany and the WSJ was listening when he was asked about Gary running The Fed:
"I think Gary is very very capable. He would be a different kind of person. Not an academic. I don’t know that he reads a lot of policy papers, let alone write then, but there’s nobody who understands markets better."
Daaaaaaaaaaaaaaaaaaamn, Lloyd. That is deep shading with the faintest of..."praise"(?)
We know Gary isn't an academic but thanks for bringing that up. Anything else to add?
Relative to current chair Janet Yellen, Mr. Cohen is “much less theoretical.”
“Who’s to say what’s better or not?” he said, noting that past Fed chairs have had more of a markets bent. “I’d be willing to give that a try. I think he would do a different job, but a great job.”
This job application is not going well.