I highly recommend that Geithner resign and that Barack make a recess appointment to replace Geithner.
The answer to the question posed in the title is simple, Professor Paul Krugman. The answer to the second question is likewise simple, Professor Robert Reich.
Why Paul Krugman? The answer is that President Obama can start by admitting he made a mistake by not demanding a larger stimulus focused on government spending and less on tax breaks. He can admit up front that he not only will listen to Krugman, but that he will now seek Krugman's advice. Obama can also say that he now realizes a much larger stimulus is needed and that he will seek that stimulus immediately.
But this does not get to the real strength Krugman brings. That strength is Krugman's ability to explain on television why a larger stimulus is needed and that without one the deficit will only grow with no end in sight. He can also explain why the tax cuts to the wealthiest Americans will greatly harm the economy. Krugman can even go on Fox news and provide cogent explanations of how to fix the problems. CNN will be a no brainer and MSNBC will accept his pronouncements as the gospel they are.
Krugman has an added advantage. He knows Ben Bernanke. At Princeton Krugman was in the economics department while Bernanke was chair. That means Krugman can talk to Bernanke and use Bernanke's own books and articles on the Great Depression to help guide Barnanke to making better decisions with respect to the Fed. If Obama puts Christine Romer on the Fed this could lead to the Fed making much better decisions.
Getting rid of Geithner is a necessity. Hopefully Obama will see this and pull Beithner's resignation out of a drawer in his desk. Robert Reich is ideal to replace Geithner. First, Robert Reich has experience running a large federal department from when he was Secretary of Labor. There is no issue that he can manage a whole lot of people.
Secondly, Robert Reich speaks on economic issues all the time. Like Krugman, he can go before television cameras and speak intelligently about the solutions to the problems we are facing. Most importantly he can speak to the rising inequality in the nation and the need to solve that problem. And guess what President Obama can also speak to this problem.
Thirdly, Robert Reich can speak to solving the trade and outsourcing issues. He can deal with income inequality not just in the US, but in the world. Robert Reich and seriously address the need of currency reform and put a real scare in the Chinese on the need for the Chinese to allow their currency to float in the market place. He can ask Krugman to do the negotiations since Krugman is a Nobel Prize winning economist whose expertise is in world economics.
The final issue is replacing Christine Romer. The answer again is simple, Laura Tyson. Laura Tyson has the expertise and the experience to step in and do a fantastic job. She also can hold her own before the cameras.
So does President Obama have the moxy to recognize the urgency of change?