Larry Summers, supposedly U.S. President Barack Obama's favorite for the job, caused the markets to soar when he took himself out of the running.
That's left Janet Yellen, the brilliant vice chair of Ben Bernanke's clubhouse and the former head of the Council of Economic Advisors under President Bill Clinton, as the default favorite.
But I've got news for all those folks frantically trying to handicap who will be named the next Fed chairman.
It won't matter.
Any euphoria from the pick of the next Fed chairman won't last. It may take six months. It may take two years.
But no Fed chief will be able to fix the fundamental problems with the U.S. economy that very few Americans comprehend and many mainstream economists seem eager to avoid.
There are four long-term major drags on the U.S. economy, and no Fed chief will be able to do anything to fix them.
Why? Because outside of the inflation needed to pay off our massive debt levels, the fundamental problems are Congress' responsibilities.
Yet Washington has somehow made the central bank the focus of economic planning and development in America – which is completely backwards. Pumping and borrowing don't offer real economic growth, just the façade of improvement. It offers political cover, but nothing of substance.
It's paper shuffling and rabbit tricks. It's the same shell game mentality of Lehman Brothers accountants.
It's going to be fast, political, and brutal for Americans…
Why the Next Fed Chairman Is Doomed to Fail
The best efforts of the government and the Federal Reserve to paper over the gravely serious problems with the U.S. economy over the past several years are bound to come unraveled sooner or later.
The next Fed chairman will have little choice but to simply pave over the wreckage with more loose policy and accounting gambits.
Here's what he or she faces…