Bernanke: Villain Now, Hero Later?

A Marketwatch story today said that “Bernanke may set the modern-day record for senators who oppose his nomination. The record is held by Paul Volcker with 16 ‘no’ votes in 1984.”

Remember that Volcker was dealing with unprecedented inflation levels during his term leading up to 1984 and hiked rates massively to fight the inflation. That was the biggest monetary policy crisis the U.S. had seen since the depression. Volcker’s legacy is that of a hero for what he did, providing more proof that market cycles are often misunderstood by politicians who are more concerned with election cycles.