Former Bank of Israel head Stanley Fischer appointed vice chair of U.S. Fed

Former Bank of Israel Governor Stanley Fischer. Credit: World Economic Forum via Wikimedia Commons.

Former Bank of Israel Governor Stanley Fischer. Credit: World Economic Forum via Wikimedia Commons.

(JNS.org) U.S. President Barack Obama appointed former Bank of Israel head Stanley Fischer as the vice chairman of the U.S. Federal Reserve.

Fischer, 70, will serve as second-in-command at America’s central bank, behind recently appointed chairwoman Janet Yellen.

As governor of the Bank of Israel from 2005-2013, Fischer was widely credited with helping to successfully steer Israel through the global recession. Fischer submitted his resignation to Israeli Prime Minister Benjamin Netanyahu last June, and was eventually replaced by Karnit Flug.

“Fischer is one of the great macroeconomists of our generation,” Steven Plaut, an economics professor at the University of Haifa, told JNS.org. “He literally wrote the textbook that I used as a PhD student to learn macro [economics]. Under his stewardship, Israel managed to keep steady and evade most of the pitfalls of the financial crisis that broke out worldwide starting in 2007. Monetary management for the U.S. of course is a very different set of problems, but Fischer is one of the better-qualified people on the planet to tackle it.

Posted on January 10, 2014 .