“As Fed chief, Yellen ignored inflation hawks who (incorrectly, in hindsight) pushed her to rapidly raise interest rates. Instead, she patiently waited to hike rates to allow more time for the economy to heal from the Great Recession and boost employment. With interest rates at zero, the Fed has limited power today to further bolster the economy and address inequality. But at Treasury, Yellen could quarterback fiscal policy at a time when it's the only game in town… [A] challenge for Yellen, who is known as a brilliant academic, would be adopting to a more partisan role. At the Fed, Yellen prided herself on staying above the political fray and sticking to the economic arguments.”
Matt Egan, CNN

“Her constant questioning of whether economic models and forecasts are correct helped her become one of the first policymakers to foresee the 2008 financial crisis and the deep problems in the housing market…

“After an early stumble as Fed chair where Yellen misspoke and the stock market tanked, she garnered a reputation for being the most prepared in the room. She carried a thick binder of notes to news conferences, and she constructed her own dashboard of indicators to better understand the true health of the economy… Those who have known Yellen for years say that alongside her expertise, her greatest skill is her ability to build consensus. Republicans and Democrats remain deeply divided about how best to help the economy. Yellen might be able to broker a deal — and work hand-in-hand with the Fed on aid.”
Heather Long, Washington Post

“[Yellen’s nomination] suggests that the Biden administration wants a Treasury that works hand in glove with the Fed to bring the U.S. economy back to where it was before the coronavirus pandemic… A more pessimistic view is that the plan to nominate Yellen could be taken as an early signal that Biden doesn’t expect much cooperation on his economic agenda from what could be a Republican-controlled Senate.”
Brian Chappatta, Bloomberg

“For his entire career, the president-elect has located the center of the party and planted himself there. Biden’s platform was more progressive than those of either Hillary Clinton or Barack Obama, because the party moved left and he moved with it. You can see that reflected in his picks as well: They’re essentially a collection of establishment figures who are progressive enough to avoid angering many on the left — and might even appeal to them…

“Janet L. Yellen, who would become treasury secretary, is deeply qualified (she chaired President Bill Clinton’s Council of Economic Advisers and led the Federal Reserve). But she’s being praised by progressives as a sharp break with Obama’s first treasury secretary, Timothy Geithner, and for her commitment to fighting unemployment and inequality. That’s a reminder that many who worked for Obama are now regarded on the left as being too conservative, particularly those with Wall Street ties.”
Paul Waldman and Greg Sargent, Washington Post