August 25th, 2009
08:59 AM ET
5 years ago

Obama nominates Bernanke to second term

WASHINGTON (CNN) - President Obama officially nominated Ben Bernanke to a second term as head of the Federal Reserve Monday.

"Ben Bernanke has led the Fed through the one of the worst financial crises that this nation and this world have ever faced," Obama said Tuesday in an announcement from his vacation spot in Martha's Vineyard.

"As an expert on the causes of the Great Depression, I’m sure Ben never imagined that he would be part of a team responsible for preventing another. But because of his background, his temperament, his courage, and his creativity, that’s exactly what he has helped to achieve," the president also said.

Text of Obama's full announcement after the jump

Remarks of President Barack Obama, as prepared for delivery

The Nomination of Ben Bernanke for Chairman of the Federal Reserve

Tuesday, August 25, 2009

Martha’s Vineyard, Massachusetts

Good morning everyone. I apologize for interrupting the relaxing I told you all to do, but I have an important announcement to make concerning the Federal Reserve.

The man next to me, Ben Bernanke, has led the Fed through the one of the worst financial crises that this nation and this world have ever faced. As an expert on the causes of the Great Depression, I’m sure Ben never imagined that he would be part of a team responsible for preventing another. But because of his background, his temperament, his courage, and his creativity, that’s exactly what he has helped to achieve. And that is why I am re-appointing him to another term as Chairman of the Federal Reserve.

Ben approached a financial system on the verge of collapse with calm and wisdom; with bold action and outside-the-box thinking that has helped put the brakes on our economic freefall. Almost none of the decisions he or any of us made have been easy. The actions we have taken to stabilize our financial system, repair our credit markets, restructure our auto industry, and pass a recovery package have all been steps of necessity, not choice. They have faced plenty of critics, some of whom argued that we should stay the course or do nothing at all. But taken together, this "bold, persistent experimentation" has brought our economy back from the brink. They are steps that are working. Our recovery plan has put tax cuts in people’s pockets, extended health care and unemployment insurance to those who have borne the brunt of this recession, and is continuing to save and create jobs that otherwise would have been lost. Our auto industry is showing signs of life. Business investment is showing signs of stabilizing. Our housing market and credit markets have been saved from collapse.

Of course, as I have said before, we are a long way away from a completely healthy financial system and a full economic recovery. And I will not let up until those Americans who are looking for jobs can find them; until qualified businesses, large and small, who need capital to grow can find loans at a rate they can afford; and until all responsible mortgage-holders can stay in their homes. That is why we need Ben to continue the work he’s doing, and that is why I’ve said that we cannot go back to an economy based on overleveraged banks, inflated profits, and maxed-out credit cards.

For even as we have taken steps to rescue our financial system and our economy, we must now work to rebuild a new foundation for growth and prosperity. We must build an economy that works for every American, and one that leads the world in innovation, investments, and exports.

Part of that foundation has to be a financial regulatory system that ensures we never face a crisis like this again. We have already seen how lax enforcement and weak regulation can lead to enormous wealth for a few and enormous pain for everyone else. And that’s why even though there is some resistance on Wall Street from those who prefer things the way they are, we will pass the reforms necessary to protect consumers, investors, and the entire financial system. And we will continue to maintain a strong and independent Federal Reserve.

We will also keep working towards the reform of a health insurance system whose costs and discriminatory practices are bankrupting our families, our businesses, and our government. We will continue to build a clean energy economy that creates the jobs and industries of the future within our borders. And we will give our children and our workers the skills and training they need to compete for these jobs in the 21st century.

Much like the decisions we’ve made so far, the steps we take to build this new foundation will not be easy. Change never is. As Ben and I both know, it comes with debate and disagreement and resistance from those who prefer the status quo. And that’s ok, because that’s how democracy is supposed to work. But no matter how difficult change is, we will pursue it relentlessly because it is absolutely necessary to lift this country up and create an economy that leads to good jobs, broad growth, and a future our children can count on. That is what we are here to do, and that’s what we will continue to do in the months ahead. I want to congratulate Ben on the work he’s done this far, and wish him continued success in the hard work ahead. Thank you.

###


Filed under: President Obama
soundoff (48 Responses)
  1. 1984

    Bad move here,Bernanke is the head of the Corporate Fascists and illegal Bank.

    August 25, 2009 10:30 am at 10:30 am |
  2. adam

    he helped Obama save American Capitalism from itself. Yes he deserves one more go around.

    August 25, 2009 10:33 am at 10:33 am |
  3. Brian

    Now I'm starting to question Mr. Obama... The Fed is the problem, not the solution!

    August 25, 2009 10:37 am at 10:37 am |
  4. Barry NiFong, Hawaii

    Bernanke sounded like a fool when questioned in front of Congress about the stimulus SO YOU GIVE HIM ANOTHER FOUR YEARS? Good call by the habitual liar SAVIOR.

    August 25, 2009 10:37 am at 10:37 am |
  5. LacrosseMom

    Wonderful! Mr. Bernake is brilliant, and level headed. He IS the one that kept the U.S. from falling into another Depression. I saw his interview, the first ever, by a sitting Fed Chairman on 60 Minutes last fall. Mr. Bernake, a scholar of the Great Depression, talked about how the U.S. will get through this Great Recession.

    Before all the haters start blogging, blaming President Obama, let's remember that BUSH WAS WARNED about the impending housing bubble and banking disaster, in .....2007. He did nothing!

    Bravo Ben Bernake, thank you for the great job you are doing on behalf of our nation!

    August 25, 2009 10:39 am at 10:39 am |
  6. makesUwonder

    As time goes by, I'm not sure having Obama's support and belief in you is such a good idea. Besides, Obama probably couldn't find anyone else stupid enough to keep funding the Democrats spending.

    August 25, 2009 11:03 am at 11:03 am |
  7. sharon

    all success.

    August 25, 2009 11:07 am at 11:07 am |
  8. Kurt

    Another bad decision by a horrible President, unfortunately, unlike the stimulus package and cash for clunkers, this one will ge tto haunt us for years, not just weeks or months...smooth move ....di they teach you anything WORTHWHILE at that Ivy League college of yours??? Like common sense???

    August 25, 2009 11:08 am at 11:08 am |
  9. babs

    They both should be in JAIL!

    August 25, 2009 11:11 am at 11:11 am |
  10. Aunt Bea and Opie

    Bernacke is the guy who filled Henry Paulsons big bag of cash for Bush and Cheneys vacation.The Fed runs both parties and the World.

    August 25, 2009 11:26 am at 11:26 am |
  11. Farrell in Houston

    Bernanke has a wealth of insight into our financial crisis so it's a wise decision to keep him in place.

    August 25, 2009 11:38 am at 11:38 am |
  12. adnan

    united states of america... WOW.........

    August 25, 2009 11:39 am at 11:39 am |
  13. J.C. - Independent & Insured

    Asia’s Recovery Highlights China’s Ascendance

    By NELSON D. SCHWARTZ
    New York Times, August 23-24, 2009

    '“The economic center of gravity has been shifting for some time, but this recession marks a turning point,” said Neal Soss, chief economist for Credit Suisse in New York. “It’s Asia that’s lifting the world, rather than the U.S., and that’s never happened before.”'

    We will need the Public Plan to recover from exponential overspending in health care and decrease our trade deficits by freeing small businesses from paying outrageous premiums for employees' health care. We need to expand on industries with value-added products, not unproductive insurance earnings.

    The Medicare-like Public Plan will make us competitive again globally.

    August 25, 2009 11:45 am at 11:45 am |
  14. RealityKing

    Obama sure keeps a lot of left-over appointees for someone who constantly blames Bush for his problems.

    August 25, 2009 11:48 am at 11:48 am |
  15. Dave

    Wow, the criminal gets another four years to run the illegal Fed and continue to pilfer and ruin America. Time to wise up.

    August 25, 2009 11:52 am at 11:52 am |
  16. Fair is Fair

    I for one would sure like to see the Fed audited.

    August 25, 2009 11:53 am at 11:53 am |
  17. doug

    This is a great move for Bobo. The fed chief is nothing more than a voice puppet for this inept admin. He is told to say uplifiting things, the same thing clinton told Bobo a while ago, so the people will continue to invest their money in the stock market. Look at it go up with unemployment on the rise, ala, 576K more jobs just lost and the deficit doubling. Bobo could not find a better stooge than Berneke. He fits right in with the other tax cheats, liars and thieves that make up this admin. Numbers don't lie.

    August 25, 2009 11:58 am at 11:58 am |
  18. Cali J

    How about the new revised numbers on Obummers:
    Deficit?
    Unemployment?
    GDP?
    How's that hope & change working for you?
    This community socialist organizer is in so far over his head, he can't see the sun.
    You kool aide drinkers who still want to blame this on Bush need help.
    It was Obama not Bush who has rammed the stimulus through so unemployment doesn't pass 8%. (heading for 10+) GM was too big to fail! (It failed) The deficit will be cut in half by end of first term. (no two trillion over estimates) All lies. If lies on purpose, he should go. If lies because of inexperience, he should go. Now healthcare, and failure in Afghanistan. God help us!

    August 25, 2009 11:58 am at 11:58 am |
  19. J

    President Obama will be one of the greatest President in American History.
    He is smart, intelligent, making wise choice, He is well loved around the world. If there is just one person who can heal the wound Americans inflict around the world during Bush and Cheney years, it will be President Obama.

    Keep it's going Mr. President
    Stock is moving up, consumer confidence is growing, home pricing is on the rise, job market slowly improving, Itraq troops is coming home.
    The road is still long and narrow but you and your team is on the right track.

    August 25, 2009 12:02 pm at 12:02 pm |
  20. lxm

    whatr a surprize.... The two thiefs deserve each other... Just remember what comes around goes around!!!!

    August 25, 2009 12:03 pm at 12:03 pm |
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