Council of Economic advisers - Leaders of Wall Street, Stagflation and Unemployment
by Wayne Ramirez
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The most influential leaders in the world economy come from the Federal Reserve, Treasury and the little known Council of Economic advisers (CEA). These brilliant minds including past and present Council people advise the president on the course of economic affairs. Some notable past and present advisers include Ben Bernanke, Harvey Rosen, Gregory Mankiw, Glen Hubbard, Martin Baily, Janet Yellen, Joseph Stiglitz, Laura Tyson, Michael Boskin, Chuck Blahous, Pierce Scranton, Eddie Lazear, Donald Marron and Keith Hennessey. The Council of Economic advisers was created in 1946 to assist the President with the increasingly complex workings of the world economy.

The Council of Economic advisers was established in the 1946 Employment Act, each president nominates three new advisers and a chairman. They have a hand in monitoring the "growth model", federal budgets, and currently the financial crisis in housing, liquidity and stock markets.

The Council of Economic advisers role is to assist and advise the President in the preparation of the Economic Report. Their publicly held mission, to encourage growth and stability, is outlined in the following five directives.

1. To assist and advise the President in the preparation of the Economic Report.


2. To gather timely and authoritative information concerning economic developments and economic trends, both current and prospective, to analyze and interpret such information for the purpose of determining whether such developments and trends are interfering, or are likely to interfere, with the achievement of such policy, and to compile and submit to the President studies relating to such developments and trends.


3. To appraise the various programs and activities of the Federal Government for the purpose of determining the extent to which such programs and activities are contributing, and the extent to which they are not contributing, to the achievement of such policy, and to make recommendations to the President with respect thereto.


4. To develop and recommend to the President national economic policies to foster and promote free competitive enterprise, to avoid economic fluctuations or to diminish the effects thereof, and to maintain employment, production, and purchasing power.


5. To make and furnish such studies, reports thereon, and recommendations with respect to matters of Federal economic policy and legislation as the President may request.