It is hard to believe that Larry Summers has the inside slot for the next Federal Reserve President.

As many may recall, but most do not, Larry Summers played a key role in preventing the Federal Reserve and the Securities Exchange Commission from having more oversight on financial instruments called Credit Default Swap (CDS).  Larry spearheaded the Clinton Administration codifying the tacit agreement between that administration and Wall Street that this money maker (and time bomb) would never be regulated.  As a matter of fact, it was the last piece of legislation enacted by the Clinton Administration.

After the 2008 economic collapse, the government found that the lack of regulation and oversight surrounding the same CDS products were one of the major factors for the economic collapse, which sucked $5 trillion out of the US Gross Domestic Product in one year (about a 30% collapse in economic activity).  How we can allow someone who was instrumental in creating that much harm to now run one of the most important economic positions in the US economy is not only amazing, but mindbogglingly stupid!  We might as well appoint Bernie Madoff (the Ponzi schemer) or Angelo Mozilo (the disgraced banker who was found guilty of selling $4 trillion in fraudulent subprime loans and forced to pay a record fine by the SEC but not of committing a crime)!  What am I missing?