I think President Obama might have been all set to announce his nomination of the new Fed chief today, to coincide with his glowing report about how great the economy is doing in the throes of the Long Depression, and how he and Larry saved us from utter destruction back in those dark days of Aught-Nine.
Then, in the midst of crafting their trumpeting celebration of The Recovery as orchestrated by Larry Himself, somebody in the White House noticed the cover of National Journal, the subtlety of which perfectly matches that of Summers Himself, and belatedly decided to pick up the phone and do a whip count. Even the Blue Dog Dems were starting to balk. Oops.
So Larry Summers bowed out (probably not graciously, given his track record of surliness), and that is that. Or is it? Could Obama prevail, and get his first choice, Timmy "The Foamer" Geithner, to change his mind about taking the job after all? Will Obama turn out to be a complete bitch and pass over Janet Yellen just out of pure spite? Will he nastily rub our noses in it and appoint somebody even worse than Summers? The terrible possibilities are endless. Just look at the roster of unprosecuted banksters and pro-austerians who still walk this earth on the 5th Anniversary of that other Great Fall (Lehman Brothers.)
That report on the "recovering" economy released by the White House last night certainly seems to have been written with Summers in mind. With him at the helm in those early, hairy days, we were bold! We made the tough choices! Half the population may be in poverty, but as Obama says for the umpteenth time,the grit and resilience of the American people will make everything hunky-dory (with the usual weasely caveat that there is still work to do, such as raising the minimum wage a whole dollar.) I'll have more on the gory details (and vague platitudes) later, after I have been thoroughly caffeinated. Actually, I should probably just tranquilize myself. Or, as Michelle says, Drink Up!™
Before his crash and burn (but no worries, Citigroup will always be there), Summers was also doing some revisionist history in an attempt to recast himself as a Man of the People. According to this report planted in Reuters as part of his populist resume-padding campaign for the Fed, he claims that he personally met with the banksters right after the Crash of Aught-Eight to inform them that they were not liked by the people for whom he the Man. Oh, and by the way, Larry thinks that thanks to him, Wall Street has totally changed. They now care what we think about them. (which is not much). They care about their "image."
The silver lining on this dreary end-of-summer Monday (raining here) is that there are a few principled Democratic senators left willing to thwart The One's wishes. What with Syria (which the corporate media is inexplicably pegging an Obamian blunder of epidemic proportions) he is losing political capital very early in his final term. I suspect the NSA spying revelations, and the fact that most of the 99% are still suffering, is what's really putting the dent on his credibility.
As the world turns, so goes the worm.