Jonathan Robinson's (sort of) expert testimony on the news of the day.
Sadly, I received news today (a little late I may add, due to college mid-term examinations), that Alan Krueger is stepping down as Assistant Secretary of the Treasury for economic policy.
I have been working on a couple of posts (this being the first one) of people who I believe that the Obama administration should consider bringing onto replace high level departures in key advisory roles. The most important position being left vacant right now is the chairman of the NEC, being vacated by Larry Summers in the next coming months.
You see I had a perfect plan laid out. Krueger has already been confirmed by the Senate in his current role in Treasury, he is from within the system, and though the NEC is not a senate confirmable position, it would be comfortable to see some continuity within the administration. Alas, the news that Krueger will be stepping down is unfortunate. Krueger would not only be a good choice because of his existence within the policy structure in the Obama administration, he is extremely smart and astute.
I can think of many economists who would have been better to choose as head of the NEC from the outset of the Obama administration (Joseph Stiglitz would have been my choice), but Krueger would have been a very good post midterms chair of the NEC. He is an expert on social insurance, education, and most importantly income inequality. There has been considerable concern that income inequality not only causes financial crises, but was behind the latest recession in very prominent ways.
Krueger’s expertise in social insurance, programs like the minimum wage, food stamps, as well as other important parts of the social safety net is exactly the person who needs to have the President’s ear. Krueger’s close relationship with Geitner is a plus, which could go along way towards a more congenial and productive debate on economic policy than the Summers/Geithner relationship that has been the talk of the town amongst economic policy wonks.
Alan Krueger is a smart economist, well versed and respected for his pioneering work in labor economics, not a firebrand liberal, and not a politician like Summers, who is willing to lowball stimulus estimates. He is a smooth talker with clear ideas, and Princeton should be glad to have him back. America, should be sad to see him go.
