Kevin Warsh will inherit a challenge no Fed chief has faced since post-World War II regarding the spiraling $31 trillion national debt

The newly-named Federal Reserve chairman faces an historic challenge that no predecessor has encountered since the years immediately following World War II. In that period, the gigantic spending required to aid our allies and secure military victory saddled the U.S. with towering debt. President Truman—fearing that huge interest costs would swamp the budget—heavily pressured the Fed to hold down rates. Today, the U.S. is wrestling with its biggest budget crisis in 70 years, and we’re confronting a similar conundrum.