The New York Fed's search committee, which is chaired by Stephen Friedman, former Goldman Sachs co-chief executive, is scheduled to meet tomorrow to consider a shortlist, which includes about four Fed insiders and three outsiders, according to people familiar with the matter.
These people add that the New York Fed today has a clear preference to turn toward an insider. “They want someone who is familiar with how the sausage is made,” says one former Fed official.
The president of the New York Fed is one of the most important figures in US economic policymaking, as the bank is the biggest of the Fed system's member banks and is responsible for buying and selling government securities.
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