Remarks by Janet L. Yellen on receiving the inaugural Janet L. Yellen Award for Excellence in Public Service from CSWEP

Good evening, everyone. Thank you so much for being here tonight. Thank you so much, Linda [Tesar], for your wonderful tribute. And thank you to the Committee on the Status of Women in the Economics Profession for this extraordinary honor.

When I learned that CSWEP was naming an award for public service after me, I was overwhelmed and deeply humbled. To then be chosen as the inaugural recipient of this award is beyond my belief.

This recognition means more to me than I can adequately express. Most AEA awards honor accomplishments in scholarly research—the development of methods, theory, identification strategies, and other contributions that, for example, fill the sessions of this conference. But economics is not only about generating knowledge; it is also about using that knowledge to improve people’s lives.

Public service—whether in government, university administration, central banking, nonprofits, or the private sector—is one of the most important ways economists can do that. The fact that CSWEP has created an award honoring the application of economics through public service sends a powerful message. It says that we value not only brilliant research, but also patient, persistent, and creative work on behalf of the public—work motivated by the desire to improve people’s lives.

Much of this work happens out of the spotlight. It involves teams of economists working together to craft workable policy, often in collaboration with professionals from other disciplines—lawyers, scientists, political advisers, and others with complementary skills. This award affirms that we value not only contributions that are cited in journals, but we also value policies that meaningfully change people’s lives. I hope it encourages more economists to see public service as a path that is both intellectually satisfying and also deeply rewarding.

My own interest in public service dates back to my graduate school days at Yale. Under the influence of my teacher and thesis adviser, Jim Tobin, I came to see economics not just as an intellectually compelling body of knowledge but as a powerful tool for improving human well-being. Tobin had a commitment to social justice. He believed strongly that economists should apply our knowledge to important public policy problems.

Tobin had read Keynes’s General Theory as an undergraduate and had lived through the Great Depression. He witnessed the misery it caused and the political and social repercussions that followed. He devoted his career to developing, extending, and applying Keynesian economics and macroeconomics more broadly. He served on Kennedy’s Council of Economic Advisers, where he proposed corporate and individual tax cuts to boost employment and long-term growth.  And he was a profound inspiration to me.

My parents had also lived through the Great Depression. My father was a family doctor whose blue-collar patients experienced much unemployment. Their stories affected me, and I came to share Tobin’s belief that good macroeconomic policy can mitigate unemployment and contribute to better economic performance.

As much as I have loved academic life—spreading knowledge through teaching and contributing to it through research—I hoped that I might serve in a policy role. For a macroeconomist, the Federal Reserve, the Council of Economic Advisers, and the Treasury are the three most natural paths. Then, in April 1994, the phone rang. A Treasury official asked whether I might be interested in serving as a Fed governor.

At the time, I had no practical policy or administrative experience. Nor did I know much about bank supervision and regulation, which are central to the work of the Fed. But I was thrilled to be asked. And I jumped at the chance. I learned an enormous amount during my first stint. I dived into unfamiliar territory, and I moved up the learning curve. Still, if anyone had told me that I would one day lead all three of these institutions, I would not have believed them. Nor would I have thought myself qualified.

In every public policy role I held, I discovered the valuable role of economic analysis in crafting good policy. I also experienced the stimulation of grappling with real-world, applied problems. And I developed great respect for economists working in government. They are professionals who are deeply motivated, collaborative, dedicated to the public good, and extraordinarily talented, creative, and ethical.

Looking back, my fondest memories are of long days filled with staff meetings—sitting around a table with knowledgeable colleagues, delving into policy details, debating tradeoffs, and trying to craft the best possible proposals. I admire their professionalism, objectivity, and evidence-based judgment: free of partisan concerns, and focused solely on the public interest.

In every role I held, I saw the central role of economists in good policy. At the CEA, economists always have a seat at the table. They often prevent bad policies from moving forward by highlighting economic costs and unintended consequences. They collaborate not only with other economists, but also with lawyers, scientists, and political advisers to design policies that are effective and politically viable. I worked with public servants across government who were exceptionally capable, creative, and committed to improving public welfare.

The work of economists in government also requires tremendous creativity. Crafting good policy is far harder than solving end-of-chapter homework problems. I especially remember, for example, the CEA’s work on climate change—developing innovative proposals that could meaningfully reduce emissions without imposing excessive economic costs.

At the Fed, economists had to understand, in real time, why the financial system unraveled in 2008, and how to stabilize it. They devised entirely new lending facilities to extend credit beyond the banking system, and they conducted the first systemwide stress tests to restore confidence: requiring banks to raise capital where needed.

At the Treasury, following Russia’s invasion of Ukraine, my colleagues worked with G7 partners to design a price cap that reduced the revenue Russia earned from oil while preserving incentives to keep oil flowing and avoiding a spike in global energy prices. They also helped negotiate a groundbreaking international tax agreement to halt the global race to the bottom in corporate taxation. I could go on. More generally, the point is that translating economics into good public policy is challenging, creative work. I am thrilled that CSWEP is celebrating it.

And this is a CSWEP award, so we should not talk about public service without talking about who gets to serve.

When I began my career, women in economics were still rare. In many rooms, I was the only woman—or one of very few. In most international meetings, all the women could have shared a single taxi.

We have come a long way since then. Thanks in no small part to CSWEP’s steady and persistent efforts, the pipeline is now quite different. More women are earning PhDs, more are in tenure-track positions, and more are serving in senior roles across government, central banks, and the private sector.

I am deeply grateful to three Presidents—President Clinton, President Obama, and President Biden—each of whom was committed to diversity in appointments and entrusted me with extraordinary opportunities to serve. In turn, my colleagues and I worked to promote diversity within our own institutions.

Still, as all of you know, the story is not uniformly optimistic. Gaps remain at senior levels, particularly in leadership roles. Women continue to leave the profession at higher rates, and disparities persist in recognition, citations, pay, and workplace climate.

Our work is not finished. Representation matters—not only at entry levels, but in the rooms where decisions are made, where problems are framed, and where younger economists look for role models.

In my own career, I benefited enormously from mentors who believed in me, took my work seriously, and opened doors. One reason I am especially pleased that this award resides with CSWEP is that CSWEP has long sought to provide exactly that kind of support and opportunity for women in economics.

Before concluding I will share one secret: Over many years and jobs I’ve relied on very useful insights and advice from my own kitchen cabinet, which consists of George and Robert Akerlof.  My spouse—who is here tonight—understands public service both intellectually and emotionally. Our son, Robby—who, predictably, became an economist—does as well. I am deeply grateful for their help and support.

I am profoundly honored to receive this award, especially in its inaugural year. It has been the privilege of a lifetime to serve as an economist in government—and the privilege of many lifetimes to serve alongside so many extraordinary people in this profession.

Thank you for this honor. Thank you for recognizing public service as part of the work of an economist. And thank you for everything you do to make this profession better, fairer, and more inclusive. I am grateful beyond words.