Timothy Geithner was sworn in Jan. 26 as the 75th Secretary of the Treasury by Vice President Joseph Biden, as President Barrack Obama watched. Meanwhile, the New York Federal Reserve Bank on Jan. 27 named William Dudley as its new president, replacing Geithner.
Dudley now moves to center stage in the global credit crisis battle. As the New York Federal Reserve chief, he earns more ($398,200) than the Treasury Secretary ($191,300). Reuters reports that Dudley, a former Goldman Sachs chief economist, has already played a crucial role in the U.S. central bank’s response to the world financial crisis by helping to design, develop and implement the Fed’s emergency lending programs.
Geithner succeeds Henry Paulson, who was chairman and chief executive officer of Goldman Sachs at the time of his appointment.
Geithner, 47, graduated from Dartmouth College in 1983 and earned a master’s degree from Johns Hopkins University’s School of Advanced International Studies in 1985.
He spent three years working for Kissinger and Associates in Washington, D.C., before joining the Treasury Department in 1988. He was deputy assistant secretary for international monetary and financial policy (1995–1996), senior deputy assistant secretary for international affairs (1996-1997), assistant secretary for international affairs (1997–1998).
Serving as Under Secretary of the Treasury for International Affairs (1998–2001) under Treasury Secretaries Robert Rubin and Lawrence Summers he moved as administrations changed to join the Council on Foreign Relations as a Senior Fellow in the International Economics department.
In October 2003, he was named president of the Federal Reserve Bank of New York. He became vice chairman of the Federal Open Market Committee component.