Economist's Insights

Quarles to Receive Nomination to Fill Fed Regulatory Role

Jul 12, 2017

After seven years with no one to sit in it, the seat reserved for the Fed Vice Chair of Supervision – a role created in 2010 after the passage of Dodd-Frank – may finally become occupied. The White House has confirmed that Randal Quarles, who previously served at the U.S. Treasury, received the nod from President Trump as the nominee. The position carries the responsibility of overseeing the regulation of U.S. financial institutions. Also in the job description is the task of voting on monetary policy decisions. According to a WSJ article, “he has criticized the Fed’s policy of keeping interest rates near zero for years following the financial crisis, and advocated for a monetary-policy rule, or formula, to guide rate decisions.” Quarles could tilt the balance of what has been a dovishly-biased Board back towards the middle.