Senate Banking Committee Sends Bernanke for Full Vote
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The Senate Banking Committee approved Ben Bernanke’s nomination as Federal Reserve chairman and sent it to the full Senate, clearing the way for his confirmation before Alan Greenspan retires January 31.
The panel approved the nomination of the 51-year-old Mr. Bernanke, by voice vote in Washington yesterday. Senator Bunning of Kentucky voted against Mr. Bernanke.
“Dr. Bernanke is an eminently qualified and I believe a superb choice,” Senator Shelby, who is the committee chairman and a Republican of Alabama, said before the vote.
Mr. Bernanke appeared before the panel for three hours on Tuesday, answering senators’ questions on inflation, the economy, and trade. On October 24, President Bush chose
Mr. Bernanke to succeed Mr. Greenspan, 79, who has led the central bank since 1987 and whose non-renewable term on the Fed’s board is expiring.
Senate Majority Leader Frist has not yet scheduled a confirmation vote on Mr. Bernanke. “We will have him confirmed before Greenspan’s term ends at the end of January,” a spokeswoman for Mr. Frist, Amy Call, said.
If confirmed by the Senate, Mr. Bernanke would have a four-year term as chairman and a nonrenewable 14-year term on the Board of Governors. Extending his tenure as chairman would require additional presidential nominations and Senate confirmations.
Mr. Bernanke, now chairman of the White House Council of Economic Advisers, was a Fed governor from 2002 until June 2005.
Senators from both parties have expressed support for Mr. Bernanke, including Democrats, including Senator Schumer of New York and Senator Carper of Delaware, and Republicans, Mr. Shelby and Senator Bennett of Utah.
Mr. Bunning, a Kentucky Republican, repeated his opposition to Mr. Bernanke’s nomination for what he said was breaking a promise to be “independent” at the Fed by always voting with Mr. Greenspan.
Mr. Bunning missed Tuesday’s hearing and said he awaits a response to questions he is submitting to Mr. Bernanke.
“Dr. Bernanke promised me he would be an independent voice,” Mr. Bunning said. “Sadly, I have not seen very much evidence of that.”
