Zoellick at the World Bank

The president’s choice of Bob Zoellick to be the new World Bank chief seems pretty obvious after the fact. He’s a loyal Bush soldier rather than an out-on-a-limb advocate like Wolfowitz, which means he’s less controversial among administration critics yet more likely to actually do what the administration wants, whatever that might be. Perhaps most importantly, he gets along with Europeans. And it is the Europeans who, along with the U.S., control the bulk of the World Bank’s votes.

According to the Washington Post, Zoellick was actually supposed to get the World Bank job in 2005, “but then Condoleezza Rice claimed him as her deputy at the State Department.” Zoellick then left State in 2006 to become vice chairman of Goldman Sachs. Smooth move, Condi.

All in all, he seems like a decent enough choice. But I do think our way of choosing World Bank presidents and the World Bank’s way of doing business are both in need of a major overhaul. Is Zoellick the guy to do that? I sorta doubt it, but who knows.

Update: More on Zoellick from Michael Duffy.

Spain’s Prime Minister Warns Country Is in Danger of Being Shut Out of Markets

MADRID — Spain‘s prime minister warned Wednesday that the country faced the danger of being locked out of international markets as investors continued to fret about the future of the euro and Greece’s place in the 17-country eurozone.

“Right now there is a serious risk that (investors) will not lend us money or they will do so at an astronomical rate,” Mariano Rajoy told Spanish lawmakers.

p_lukasiak

I wonder why Zoellick is doing this — the only reason I can come up with is ego.

For the next 20 months the Bank is going to be in a holding pattern at best — the enormous animosity toward Bushco was exacerbated by the long, drawn out process of getting rid of Wolfie because Bush moronically refused to back off of his support. That is what Zoellick is walking into, and the knives are at the ready— and if Zoellick justifies his reputation as a “tough boss” at the WB, he will be able to accomplish even less.

If Zoellick had more sense than ego, he’d reconsider, and go back to exploiting his adminstration connections in his job at Goldman Zachs — because come January 20, 2009, Zoellick value in the marketplace dissolves, and he’ll be sent packing by a new Democratic President who wants to re-establish America’s reputation, and will get rid of people like Zoellick ASAP as a symbol of this nation’s repudiation of all things Bush.
Justin Fox

No, Zoellick has the job through 2012 unless he messes up like Wolfie. And by then he’ll have lots more connections to exploit at Goldman or elsewhere. I’d say that for him it’s an exzellent career move.
p_lukasiak

Justin:

Are you saying that a Democratic President couldn’t say to the World Bank, “get rid of Zoellick or else?” and that the Bank would resist? Unless Zoellick winds up being the second coming of McNamara, I have a tough time believing they’d keep around a “loyal Bush foot soldier” under those circumstances….
Justin Fox

I’m pretty sure no World Bank chief has ever been turned out of office prematurely just because the U.S. presidency changed hands. If Zoellick seen as a moderately effective World Bank chief, he’ll get to keep the job post-Bush. And if he’s the second coming of McNamara, he’ll be reappointed in five years.