EDITORIAL: Bernanke as Time's 'Person of the Year' proud moment for Pee Dee

Ben Bernanke’s selection as Time magazine’s “Person of the Year” is a proud, historical moment for the Pee Dee.

The son of a Dillon drug store owner, who played saxophone in a local marching band and waited tables at South of the Border, grew up to become Federal Reserve chairman. And in 2009, he earned the magazine’s prestigious honor for tackling the economic crisis and keeping the recession from turning into a depression.

The 56-year-old Bernanke wisely was chosen over President Barack Obama, House Speaker Nancy Pelosi, Apple Inc. co-founder Steve Jobs, Gen. Stanley McChrystal and Olympic gold medalist Usain Bolt, who were among the finalists.

Time’s first “Person of the Year” was aviator Charles Lindbergh in 1927. Others have included Pope John Paul II, Ronald Reagan and Martin Luther King Jr., Winston Churchill and Franklin D. Roosevelt.

In other words, Bernanke will be remembered in distinguished company.

And we agree: Bernanke deserves the honor, even as the unemployment rate has hit more than 20 percent in parts of the Pee Dee.

“The recession was the story of the year. Without Ben Bernanke ... it would have been a lot worse,” Time managing editor Richard Stengel said in a statement.

The 56-year-year-old Bernanke, an expert on the Great Depression who used to teach at Princeton University, applied his knowledge to avoid complete economic chaos. He kept money flowing with low interest rates and infusions of taxpayer cash into the private sector.

“We’ve rarely had such a perfect revision of the cliche that those who do not learn from history are doomed to repeat it,” Stengel said. “Bernanke didn’t just learn from history; he wrote it himself and was damned if he was going to repeat it.”

Even so, Bernanke has been under constant criticism from Congress. Bernanke was lambasted last week during hearings on his confirmation for a second term.
Bernanke faced tough questions about the housing crisis and taxpayer bailout of banks and auto industry. Lawmakers also are growing wary of the Federal Reserve’s increasing power. Many refer to it as the fourth branch of government.

“It is ironic that he’s under such criticisms given that he played such a key role in ending the financial crisis,” Mark Zandi, chief economist at Moody’s Economy.com, told the Los Angeles Times. “I think if the Fed hadn’t acted aggressively and reduced rates to zero, the financial system would still be in disarray and we’d still be in a recession.”

The Senate Banking committee backed Bernanke in a 16-7 vote. Sen. Jim DeMint, R-S.C., opposed Bernanke, who is expected to win support in the full Senate. There’s a possibility more than 20 senators will oppose him.

“We can’t have a Federal Reserve that the majority of Americans no longer trust, and that’s what we have today,” DeMint said in explaining his vote.

We hold the same opinion as Sen. Lindsey Graham, R-S.C., who told CNBC Bernanke has done a good job in avoiding a depression.

But as Graham added: “We need more transparency and accountability ... The Fed needs to be looked at closely.”

The Fed’s power and Bernanke’s handling of the responsibility will continue to be scrutinized. A robust economy that creates jobs is on the top of everyone’s wish list.

In our opinion, Bernanke understands people are hurting, especially in the region where he grew up.

“I understand why people are frustrated. I’m frustrated, too,” Bernanke told Time. “I’m not one of those people who look at this as some kind of video game. I come from Main Street, from a small town that’s really depressed. This is all very real to me.”

As we pause to congratulate Bernanke on his selection as “Person of the Year,” we would be remiss if we didn’t urge him to keep boyhood images of Dillon County alive and close to heart. Main Street, not Wall Street, should be Bernanke’s focus in 2010.

— Unsigned editorials represent the views of this newspaper: Editorial Board members are Mark Laskowski (regional publisher), James Bennett (regional editor), Sam Bundy (sports editor), Kimberly Ginfrida (news editor), David Johnson (regional circulation director), Charles Tomlinson (Lake City News & Post editor), and Jackie Torok (metro editor).