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Mandel Ngan / AFP - Getty Images
President Barack Obama announces his choice of White House Chief of Staff Jack Lew as the next Treasury Secretary in the East Room of the White House on January 10, 2013 in Washington, DC.
President Barack Obama nominated Jack Lew, his current chief of staff, to be the next Secretary of the Treasury Thursday, elevating his wonky former budget director to a position at the center of fights over the nation's deficit and spending.
"Jack knows that every number on a page, every dollar we budget, every decision we make, has to be an expression of who we wish to be as a nation, our values," the president said at the White House announcement of Lew's nomination.
Related: Team Obama trips on cabinet shuffle
The president did not indicate who will replace Lew. The leading candidates for the next chief of staff are former Biden chief of staff Ron Klain and Deputy National Security Adviser Denis McDonough.
"I don't want to see him go, because it's working out really well for me to have him in the White House," Obama said of his departing chief. "But my loss will be the nation's gain."
Lew, known as a tough negotiator who clashed with House Republican aides during last year's debt ceiling negotiations, previously served as the director of the Office of Management and Budget under both Obama and former President Bill Clinton.
Lew will replace outgoing secretary Tim Geithner, who took the post at the start of Obama's first term, when financial markets were still roiling from the 2008 meltdown.
"I couldn't blame Tim when he told me he wasn't the right guy for the job," Obama joked.
Praising Geithner for his handling of the economy throughout his four year tenure, Obama noted that he pleaded with Geithner to stay on despite his onetime desire to leave before the end of Obama's first term.
Economist Greg Ip and CNBC's Steve Liesman share reactions from the markets, foreign capitals and Congress to Jack Lew as the Treasury Secretary nominee.
"When the history books are written, Tim Geithner's going to go down as one of our finest Secretaries of the Treasury," Obama said to sustained applause from the audience at the White House.
In remarks, Lew joked about his famously loopy signature, saying that he and Geithner share "a common challenge with penmanship." (The Treasury Secretary's signature appears on all paper currency.)
Obama wryly responded that, while he considered rescinding Lew's nomination over his sloppy signature, the new pick had promised to work to make at least one letter legible so as to "not debase our currency."
Critics have pointed out that Lew, who served as chief operating officer of Citigroup Alternative Investments in 2008 before coming to OMB, benefited from that unit's investments in anticipation of the housing market collapse.
That's likely to be discussed at his confirmation hearings, and Republicans like Senate Budget Committee ranking member Sen. Jeff Sessions have already voiced opposition to Lew's selection for the post.
On Thursday, Chamber of Commerce President Tom Donohue described the new Treasury pick as an experienced veteran of fiscal debates.
"Jack's been around for a long time," he said. "He's a tough dude."
For more about Lew's background, click here to read NBC's coverage from yesterday.
NBC's Bob Costantini contributed to this report.
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I don't mind paying interest on my mortgage, because I benefit from living in the house I am paying interest on. And the vast majority of people who want to continue the current level of spending (as evident by the support for Obama) seem to think that their taxes provide them with services. How much service do you get from the taxes you pay just to pay the governments interest on that $52,000?
Google Balanced Budget and Recession. A number of interesting articles explaing the pitfalls of a balanced Federal Budget Amendment and a Balanced Budget in general, many by Republicans and other conservatives. One of the most interesting is the study that looked at all 9 recessions from the Founding to the Great Depression in 1930. Every single one was preceeded by not only a period of balanced budgets but an actual paying down of the Public Debt. The withdrawal of Government spending was the single driver of those recessions. Granted not all recessions since then follow the trend but it is interesting non then less.
Great pick for the Treasury. Now, to all the people, specially minorities and special interest groups, that think the President owes them something, back off! It is his cabinet and he is entitle to nominate the candidate of his choice.
He is the President, so let him govern. Unbelievable you left wingers, which are a different breed from actual liberals or progressives, can't be happy, you have to complain about the President all the time. Take a break and be a team player for a change and for the country.
obama does not know how to govern...he is a rigid ideologue incapable of leadership in any fashion...
The fact that we are here today to debate raising Americas debt. Limit is a sign of leadership failure. It is a sign that the US Government can’t pay its own bills. It is a sign that we now depend on ongoing financial assistance from the foreign countries to finance out government’s fiscal policies. And the cost of our debt is one of the fastest growing expenses in the Federal budget. This rising debt is hidden domestic enemy, robbing our cities and States of critical investments in infrastructure like bridges, ports, and levees: robbing our familes and out children of critical investments in education and health care reform; robbing our seniors of the retirement and health security they have counted on. Every dollar we pay in interest is a dollar that is not going to investment in Americas priorities. Instead, interest payments are a significant tax on all Americans. A debt tax that Washington doesn’t want to talk about. If Washington were serious about honest tax relief in this country, we would see an effort to reduce national debt by returning to responsible fiscal policies. Increasing America’s debt weakens us domestically and internationally. Leadership means that “the buck stops here. Instead, Washington is shifting the burden of bad choices today onto the backs of our children and grandchildren. America has a debt problem and a failure of leadership. Americans deserve better. I therefore intend to oppose the effort to increase America’a debt limit.
Sen. Barack Hussein Obama, Jr. (Senate speech March 16, 2006)
We ought to be so proud to have a individual with such honesty and integrity in the White House. Says what he means, means what he says.
gringo,
Could it be at the time he was naive about the interaction between the Federal Budget, the economy and the impact of a debt ceiling on the latter? He had just gotten into the Senate and I doubt he had any real knowledge of those items at that time. A lot of people come to Congress with grand ideas about the budget and the roll of government and then suddenly find all is not as they thought when they actually start to learn about things.
You can argue he may still not fully understand everything but he has learned that default is not an option.
Now send him to school and teach him the cursive alphabet and how to use it properly. He should be embarassed enough with his signature that he should think seriously about hiring a ghost signer.
I just don't know what you Dimocrate's want from us....your boy is back in.....you can stop defending him and start celebrating.........The country is obviously in very capable hands, and, I'm sure that within the next four years, he should be able to achieve all his promises to you.....SHOULDN'T HE? Baaaaaaaaaaaaah!
Dimocrate....or is it Dimwitocrate jerk!
Odumbo, the only president to get re-elected to a second term after accomplishing absolutely nothing during his first term outside of giving us a higher unemployment rate, higher gas prices and a deficit 4 times larger than when Bush left office.
All of this is very nice but we must remember the primary objective of everyone is to hold on to their job, and actually improve on it if there's any way to do that. Look around you, at yourselves, and recognise what people are doing in their pursuit of happiness. Yep, everyone is at some level trying to survive. It's true of politicians too, just watch the little creeps and see the truth. They happen to be a bit(lot sometimes) slimier than we are. Even those with a connection through working directly or indirectly with government have a position they want to hold on to. That's why the "So called" experts all gather around each other and proffess they know what's going on without actually telling the real story. Consider Chris Mathews for one, and his Hardball show. When ever he actually gets a chance to play real hardball with a clown or creep in congress he pulls away like a scared little chicken. They all do it, it would be suicide not to. Bottom line, watch for tell tale comments, actual decisions and recognize creepy people and you will be one of the fortunate ones. You will realize there is not much you can actually do alone, but vote to remove bad people and hope others do the same. Hopefully this guy will do a good job, after all he really does what he is told. Doesn't he? Just look for the rotten apples like Speakerless Boehner or McCain the back stabber, they will show you the way to hell.
putting the joker , ,in charge of the jail
Yet another incompetent promoted to an important position...will it ever stop?
I always thought that Ole Barry was AC/DC. Now I know for sure. He's tapping both Michelle and Lew. My guess is Barry would tap a knot hole in a dead tree if you lead him to one!
The left wing promo on Lew is he is a "budget genius". Just what we need more of in Washington, another genius. Look where all the other so call "genius" idiots got us...........$ 16.5 trillion in debt, a broke dick banana republic!
just like putting the Joker, in charge of the bank everthing will be gone
Praising him? For what?! Geitner was a Fed insider and a tax cheat! That's corruption, plain and simple. Geitner was NOT the right man for the job -- I don't view that remark as a joke.
Has he paid his taxes? that would be one up on Timmy
What percent did he pay in taxes the past few years?
Can he take away Obama's pen for signing checks we do not have the funds for?
the same ole' same ole' from the man who promised change !!!
Just anothe Lew,Lew of a choice by Big O.
Five surgeons from big cities are discussing who makes the Best patients to operate on.
The first surgeon, from New York, says, 'I like to see accountants on my operating table because when you open them up, everything inside is numbered.'
The second, from Chicago, responds, 'Yeah, but you should try electricians! Everything inside them is color coded.'
The third surgeon, from Dallas, says, 'No, I really think librarians are the best, everything inside them is in alphabetical order.'
The fourth surgeon, from Los Angeles chimes in: 'You know, I like construction workers...Those guys always understand when you have a few parts left over.'
But the fifth surgeon, from Washington , DC shut them all up when he observed: 'You're all wrong. Politicians are the easiest to operate on. There's no guts, no heart, no balls, no brains, and no spine..
Plus, the head and the ass are interchangeable.'
More like taps Lew for cash. Here comes the wallstreet banking connections to prop up some more bad loans so we all can pay and ship some more tax money out the hidden dem / lib upper tier of our new socialist society. Thats why and how people take these low paying government appointments.
Well it used to be that the Wall Street insiders totally screwed the country by selling sub prime loans bundled up and also they sold securities that were bets against sub prime loans. And of course back then Wall Street was evil because it serviced the wealthy who were represented by the Republicans. Lew was right at home in this world. Back then you libs blamed Wall Street but not the idiots that took mortgages that they could not afford. Now because Obama has anointed him he is smart and crafty and at home in the world of finance and a great nominee for Dept of Treasury. There's a line from a old pop song "Any which way the wind blows" It could be your anthem libs because it sure seems to fit
Westguy,
It's clear many of those who defaulted were duped by the mortgage bankers who slick talked them into deals they could neither understand nor afford. The bankers didn't care because as long as the housing market was rising, forclosure would net them a profit anyway.
Did you see today's article on the new mortgage lending regulations? It will be a lot harder to repeat that chicainery.
Yee Hawww! Hold on! This is gonna be one heck of a ride..... And then, "we all" fall down.
Another typical Obama nomination; qualification: crony (and that is it).
You do not consider two tours as head of the Office of Management and Budget as being qualified? What do you consider proper qualifications?
Soon they'll be telling us when to get up, eat, etc.
It wouldn't matter who Obama nominated....
Radical right wingers just complain, complain, complain.
That's all right wingers are good at, collecting welfare and complaining
Is that a new tinfoil hat you have on?
So the Treasury, including the IRS. was under Geithner, who claimed ignorance of basic tax law, and demonstrated he has no ethics; but will now be under a man who has no knowledge of economics and clearly no ethics.
And down the drain we go!!!!
Maybe you are going down some drain....
Bring Boehner with you on your drain excursion.
hahhahahahhahahahhahahah
The extreme right wingers gripe because Obama supposedly hates Israel because he won't bow down and kiss Netayahu's tukas, yet they say the Jews are responsible for all sorts of financial woes and that includes Lew.
From Shakespeare's The Merchant of Venice,
"I am a Jew/ Hath not a Jew eyes? Hath not a Jew hands, organs/ dimensions, senses, affections, passions; fed with/ the same food, hurt with the same weapons, subject/ to the same diseases, heal'd by the same means/ warm'd and cool'd by the same winter and summer/ as a Christian is? If you prick us, do we not bleed?/ If you tickle us, do we not laugh? If you/ poison us, do we not die? And if you wrong us, shall we not revenge?" -Shylock, II.i.58
Those words were written over 400 years ago and are still true today.