Bernanke Faces More Senate Opposition

(AP)  Federal Reserve Chairman Ben Bernanke faced mounting Senate opposition for another four-year term Friday, even as the White House described President Barack Obama as confident about his confirmation.

Sen. Barbara Boxer of California announced she'll vote against Bernanke, adding another Democrat to the ranks of those arrayed against Bernanke.

"It is time for a change it is time for Main Street to have a champion at the Fed," she said.

Democratic Sens. Russ Feingold of Wisconsin and Bryon Dorgan of North Dakota also said they'll oppose Bernanke on the Senate floor. Feingold faults Bernanke for missing a high-risk culture at financial companies that led to a near economic meltdown late last year. Dorgan also is upset that the Fed has kept secret the identities of firms that drew emergency loans from the Fed.

Deputy press secretary Bill Burton, talking to reporters as Obama headed to Ohio Friday, said the president has "a great deal of confidence" in the actions Bernanke already has taken and believes he's "the best person for the job."

Burton said the White House still believes that Bernanke, 56, will get enough votes in the Senate to run the nation's central bank for another four years.

But the political waters are getting rougher for Bernanke, and the Senate confirmation vote may be much tighter than many had anticipated just a few a month ago.

A time for a vote still hasn't been set. Officials at one time had hoped that it would come this week. Bernanke's term expires on Jan. 31.

If Bernanke is not confirmed before his term expires, Fed Vice Chairman Donald Kohn would probably step in as chairman and run the central bank on a temporary basis.

Just days after losing their filibuster-proof Senate majority in a Massachusetts special election, Senate Democrats are searching for a way to defuse voter anger that remains sluggish and is recovering slowly from a recession that was as harsh as any in decades.

While praised for preventing the Great Recession from turning into the Great Depression, Bernanke's support of Wall Street bailouts especially the $182 billion rescue of insurance giant American International Group Inc. has touched a nerve on Main Street.

Burton said the White House is working to get Bernanke confirmed and there's no backup plan. Some senators have said they want more information supporting Bernanke, a holdover from Republican President George W. Bush.

Bernanke and Sen. Majority Leader Harry Reid, D-Nev., met Thursday to discuss ways to strengthen the economy, encourage more lending by banks and curb home foreclosures. Reid has been conspicuously quiet about where he stands.

Senate Democrats are scrambling to do head counts.

Don Stewart, spokesman for Sen. Republican Leader Mitch McConnell of Kentucky, said that Democrats had asked GOP leaders to do a whip count to measure support among Republicans. "We didn't think we'd even have to count," Stewart said.

Illustrating Bernanke's difficulties in the Senate, Sen. Bob Corker, R-Tenn., one of four Republicans to vote for his nomination in the Senate Banking Committee, said Friday he was undecided on how to vote on final confirmation.

"The whole AIG issue you'd have to be asleep not to know that that has certainly clouded the issue," he said in an interview with The Associated Press.

Corker said he has spoken to Bernanke a number of times over the past week, has reviewed Fed documents and reread Bernanke speeches. He said a strong argument for Bernanke is that he is best equipped to mop up massive amounts of money pumped into the economy during the crisis to avert another dangerous problem: an outbreak of inflation.

"On the other hand, at some point you have to weigh that against the fact that regardless of what he's done, even if everything he's done has been perfect, you've got to understand that trust that the public has in the Fed today has been greatly diminished by the activities that have taken place over the last couple of years."

"At this point I just want to say I'm continuing to do all the due diligence that I a can," Corker said.

Dissatisfied by the bailouts, Sen. Bernie Sanders, an independent liberal from Vermont, wants to block Bernanke's confirmation with a filibuster on the Senate floor. He has placed a "hold" on the nomination, meaning it will require a super-majority of 60 votes to confirm Bernanke.

The Senate Banking Committee in mid-December sent Bernanke's nomination to the Senate floor on a 16-7 vote. Six Republicans and one Democrat lined up against him.

Associated Press Writers Jim Kuhnhenn and Andy Taylor contributed to this report. Philip Elliott reported from aboard Air Force One.

[noloyalisti]

The problem is that less than 1% of the population holds more than 50% of the stock. And the Constitution does not say We the Corporation.

Big corporations have taken over the media, the military and the government and run them for their own profit. And We the People are footing the bill.

If this tragic Supreme Court ruling doesn't unite us against the rich, we truly have no hope.

[NinthSt78]

PLEASE stop trying to sell us another new one when we are happy with the pre-owned model we already have...

[wjksea]

Corporations are non-democratic. Corporations are plutocracies who are answerable to those who hold the greatest number of shares in them. The role is not to represent employees. Employee talent is used in order to do the following: Eliminate the competition, reduce overhead and maximize profits. They do this in part by cutting healthcare, retirement plans and wages for their employees.

While labor unions might need more guidlines to paricpate in political debates, the function of them is to advocate for fair representation on behalf of labor both white collar and blue collar when working for corporations. Basically they are non-profit and have democratically elected representatives. Labor Unions are not owned by an individual nor are they represented on wall street.

Those who hold the most shares in corporations don't like labor unions because quite to the point, they'd be happy running cotton plantations and having slave labor make them incredibly rich and powerful. This descripton is not the hallmark of a moral and just society nor a democratic republic.

[wjksea]

Corporations are leveraged capital. The objective of the corporation is to eliminate competition, cut overhead and raise capital. Employees of corporations are only necessary in meeting this end which is for the sole benefit of those who own the most shares. As monopolies form the efficiency of raising capital out weighs the need to provide service allowing a reduction in overhead. One way to reduce overhead is to cut corporate employee wages, healthcare and retirement plans. Corporations are basically non-human anti-social entities.

Labor Unions are reprsentative of both white collar and blue collar labor. The largest corporate share holders despise labor unions for the same reason cotton plantation owners would despise any requirements that their slaves be treated with basic human rights. Such advocacy of fairness decreases the greatest corporate share holders opportunity to gain title to the kingdom.

[sjc_1]

Ben is one of the best Federal Reserve Chairmen that we have had in a LONG time. Paulson was the one that threw money around with no conditions and made sure his Goldman stock was still worth a bundle.

[sjc_1]

Ben is once of the best Federal Reserve Chairmen that we have had in a LONG time. Paulson was the one that threw money around with no conditions and made sure his Goldman stock was still worth a bundle.

[wjksea]

I think upon further investigation it can be uncovered that Ben was right in there with Greenspan who now admits his ideas were severely flawed.

[RobAla]

This year, Bernanke was Time magazine's Man of the Year. This left leaning rag proclaimed him the man who saved us all. The Democrats have recently been slammed by the American people in the voting booth, and they are now turning on the guy. I'm not a member of either party, but I think they are looking for a scapegoat for failure. I am not sure any Fed Chair could have helped in an environment of out of control chaotic government wasteful spending ($trillions in ridiculous bail outs, bogus stimulus packages, cash for clunkers...etc). Now these irresponsible jerks in Washington want to push the nation $1.9 trillion more in debt. This stuff has got to stop. President Bush started it, and President Obama has accelerated this massive expansion of the fed gov, which is pushing the nation to the point of bankruptcy. Where did all the adults in Washington go? This is nuts. We need to drastically reduce the fed gov to a manageable size; and do it soon. Instead the President is still trying to grow the government, at the people's expense. Regardless of who chairs the Fed, this has to stop!

[wjksea]

What is it with the partisan rant? Bernanke was appointed by Bush and no doubt recommended by the federal reserve which is run by the largest banks who Hank Paulson under Bush saw to it received tax payer money to rescue them from collapse. So much for the free market and non-government intervention. What a big lie and breach of the public trust this has been. How can attentive americans believe in this country anymore?

[wjksea]

We need to reduce the size of the corporate plutocracy and increase the size of our shrinking democratic republic. Your comments need to be met with informed patriotic americans who wish to preserve their ability to have their interests met.

[stryker54]

call your elected officials and tell them if they vote for this Bozo, you will vote them out of office. This guy knew what was going to happen before it did. Throw his butt out and get someone new. Enough of the old crusty seadogs.

[stn_sage]

I agree with all these posters: markj2, rickf1, and retm-w.

[retm-w]

They need to get rid of the whole Obama adviser and czar crew and start from scratch. Boy did he pick some real idiots, that's what happens when you have to pay back political favors.