When Obama could have turned to Nobelists Joseph Stiglitz or Paul Krugman or veteran Paul Volcker to lead the effort to heal the economy, he turned instead to a man known for years for being reckless.
It turns out key economic advisor to Obama Larry Summers used his power as Harvard President to double down significant amounts of cash in the recent housing bubble. He lost; Harvard lost. Just recently, for example, Harvard Law School announced it was forced to scale back its support for law students pursuing low wage public interest work as a result of the downturn. Thanks, Larry.
Executives, whether Presidents of countries or universities, need to know how to listen to their professional staff and advisors. Time and again the break down in basic governance structure can explain some of the most egregious outcomes.
Time for Summers and his lieutenant “Tiny Tim” Geithner to be replaced.