Powell and 3 other nominees to Fed posts clear Senate panel

Mar 16, 2022, 5:11 PM | Updated: Mar 17, 2022, 5:55 am

WASHINGTON (AP) — The Senate Banking Committee approved Jerome Powell’s nomination to a second four-year term as chair of the Federal Reserve Wednesday, just hours after the central bank began what will be a difficult effort to combat inflation.

Fed governor Lael Brainard was also approved to serve as the Fed’s vice chair, and the committee endorsed Philip Jefferson, an economist and dean at Davidson College in North Carolina. All three will now be considered by the full Senate. Lisa Cook, an economist at Michigan State, also advanced to the full Senate on a tie vote in the committee.

If all nominees win Senate confirmation, the Fed will have six of its seven governor positions filled as it tackles the nation’s worst bout of inflation since the early 1980s. On Wednesday, the Fed’s policymaking committee implemented its first interest rate hike since 2018 and said that more rate increases this year “will be appropriate.”

One spot remains vacant because of GOP opposition to President Joe Biden’s nomination of Sarah Bloom Raskin to the Fed’s top financial regulatory post. Committee Republicans, led by Pennsylvania Senator Pat Toomey, objected to Raskin’s commitment to including climate change concerns in the Fed’s regulatory policies. Toomey argued that Raskin would use the Fed’s rules to discourage bank lending to oil and gas companies.

Raskin withdrew her nomination Tuesday after West Virginia Democratic Sen. Joe Manchin said he would vote against her on the Senate floor. With the Senate divided 50-50, and all Republicans opposed, Manchin’s opposition left Raskin with no path to confirmation.

Biden is expected to nominate another candidate to fill the Fed board’s empty slot.

Powell was approved on a 23-1 vote, with only Sen. Elizabeth Warren, Democrat from Massachusetts, voting no. Warren has objected to Powell’s support for measures that she argues have weakened the Fed’s oversight of large banks. She previously called Powell a “dangerous man” to lead the Fed.

Sen. Sherrod Brown, an Ohio Democrat who chairs the committee, said Powell “has been a reliable voice and steady hand through this crisis. He’s earned the opportunity to lead the Fed as chair.”

Brainard, a Democrat who served as a top Treasury official in the Obama administration, was approved on a 16-8 vote. Jefferson was approved unanimously. All Republicans voted against Cook, leading to a 12-12 vote. Cook attracted opposition from some conservative economists who said her research on the impact of lynchings and racial violence on African-American innovation wasn’t relevant to the Fed’s mission.

A tie vote in the committee allows the full Senate to consider a nomination.

If approved, Cook would be the first Black woman on the Fed board in its 109-year history. Jefferson would be the fourth Black man.

Cook has been a professor of economics and international relations at Michigan State since 2005. She was also a staff economist on the White House Council of Economic Advisers from 2011 to 2012 and was an adviser to Biden’s transition team on the Fed and bank regulatory policy.

Cook has also been an advocate for Black women in economics, a profession that is notably less diverse than other social sciences. In 2019, she co-wrote a column in The New York Times that asserted that “economics is neither a welcoming nor a supportive profession for women” and “is especially antagonistic to Black women.”

To combat those problems, Cook has spent time mentoring younger Black women in economics, directing a summer program run by the American Economic Association, and won an award for mentoring in 2019.

Jefferson, who grew up in a working-class family in Washington, D.C., according to an interview with the American Economic Association, has focused his research on poverty and monetary policy. In a 2005 paper, he concluded that the benefits of a hot economy in the form of reduced unemployment among lower-skilled workers outweigh the costs, including the risk that companies would adopt automation once labor grew scarce.

Copyright © The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.


Pope Francis arrives in the Paul VI hall on the occasion of an audience granted to the participants...
Associated Press

Pope appeals to Putin to end ‘spiral of violence’ in Ukraine

VATICAN CITY (AP) — Pope Francis on Sunday appealed to Russian President Vladimir Putin to stop “this spiral of violence and death,” and decried the risk of a nuclear war. ___ Follow the AP’s coverage of the war at https://apnews.com/hub/russia-ukraine Copyright © The Associated Press. All rights reserved. This material may not be published, broadcast, […]
3 hours ago
Mattresses lie on the floor in a holding cell at the basement of a police station which was used by...
Associated Press

10 torture sites in 1 town: Russia sowed pain, fear in Izium

IZIUM, Ukraine (AP) — The first time the Russian soldiers caught him, they tossed him bound and blindfolded into a trench covered with wooden boards for days on end. Then they beat him, over and over: Legs, arms, a hammer to the knees, all accompanied by furious diatribes against Ukraine. Before they let him go, […]
3 hours ago
Britain's Prime Minister Liz Truss arrives to attend the Conservative Party conference at the ICC, ...
Associated Press

UK’s Truss sticks by economic plan as her party worries

LONDON (AP) — British Prime Minister Liz Truss said Sunday that she could have done a better job “laying the ground” for her package of unfunded tax cuts, but insisted she would push on with an economic plan that has caused turmoil on financial markets and weakened the country’s public finances. Truss acknowledged that the […]
3 hours ago
Women weep after receiving confirmation that their family member is among those killed in soccer ri...
Associated Press

174 dead after fans stampede to exit Indonesian soccer match

MALANG, Indonesia (AP) — Panic and a chaotic run for exits after police fired tear gas at an Indonesian soccer match to drive away rioting fans left at least 174 dead, most of whom were trampled upon or suffocated, making it one of the deadliest sports events in the world. Attention immediately focused on the […]
3 hours ago
Latvian Prime Minister and Head of board of leading political party Jauna Vienotiba (New Unity) Kri...
Associated Press

Latvian premier’s party emerges on top in general election

HELSINKI (AP) — Prime Minister Krisjanis Karins’ ruling center-right party won the most votes in Latvia’s general election, centrist parties were runners-up and pro-Moscow parties crashed in a vote that was shaped by neighboring Russia’s war in Ukraine and divisions among the Baltic country’s sizable ethnic Russian minority. With almost all votes counted, initial results […]
3 hours ago
Ukrainian servicemen drive a tank on the way to Siversk, Donetsk region, Ukraine, Saturday, Oct. 1,...
Associated Press

Ukraine presses counteroffensive after Russian setback

KYIV, Ukraine (AP) — Russia attacked the Ukrainian president’s hometown with suicide drones on Sunday, and Ukraine pushed ahead with its counteroffensive after taking back control of a strategic eastern city. Russia’s loss of Lyman, which it had been using as a transport and logistics hub, is a new blow to the Kremlin as it […]
3 hours ago

Sponsored Articles

Children’s Cancer Network

Children’s Cancer Network celebrates cancer-fighting superheroes, raises funds during September’s Childhood Cancer Awareness Month

Jace Hyduchak was like most other kids in his kindergarten class: He loved to play basketball, dress up like his favorite superheroes and jump as high as his pint-sized body would take him on his backyard trampoline.
Day & Night Air Conditioning, Heating and Plumbing

Here are 4 signs the HVAC unit needs to be replaced

Pool renovations and kitchen upgrades may seem enticing, but at the forefront of these investments arguably should be what residents use the most. In a state where summertime is sweltering, access to a functioning HVAC unit can be critical.
Mayo Clinic Orthopedics and Sports Medicine

Why your student-athlete’s physical should be conducted by a sports medicine specialist

Dr. Anastasi from Mayo Clinic Orthopedics and Sports Medicine in Tempe answers some of the most common questions.
Powell and 3 other nominees to Fed posts clear Senate panel