more-arw search

Speculations Continue About Obama, Romney Treasury Secretary Picks

Current Treasury Secretary Timonty Geithner may soon vacate his post, which ha

Treasury Secretary Timothy Geithner is looking to leave his post, and there are a few people in the Treasury Community that could be candidates for the job if President Barack Obama is re-elected, The Wall Street Journal reports.

Jacob Lew, the current White House Chief of Staff, and Erskine Bowles who served as the chief of staff in President Bill Clinton's administration, are two of the top contenders, the newspaper says. The decision is important for several reasons, namely the fact that the U.S. is approaching the debt ceiling and will work to raise the limit before the end of the year. Essentially, the country is coming upon the edge of a "fiscal cliff."

As the Financial Times explains, the cliff is comprised of spending cuts and tax cuts totaling $600 billion. The deadline is January 1, and a failure by Congress to act on this pressing issue could send the U.S. back into a recession, the newspaper notes. With Democrats and Republicans still in disagreement, whoever presidential-hopeful Mitt Romney or incumbent Obama choose as Treasury Secretary could have a major impact on the outcome of this deal.