Diamond withdraws nomination for Fed board

By the Associated Press | June 6, 2011 | 10:57 AM EDT

FILE - In this Oct. 11, 2010 file photo, Massachusetts Institute of Technology economics professor Peter A. Diamond is shown during a news conference in Cambridge, Mass., after learning he is one of three economists to win the 2010 Nobel Prize in economics. Diamond is withdrawing his nomination for the Federal Reserve board. In an op-ed piece first published on The New York Times website on Sunday, June 5, 2011, and in its print edition on Monday, Diamond seemed frustrated by the confirmation process, detailing how President Barack Obama had nominated and re-nominated him to fill a vacancy on the seven-member board.(AP Photo/Stephan Savoia, file)

WASHINGTON (AP) — The White House says it's "deeply disappointed" that Nobel Prize-winning economist Peter Diamond is withdrawing his nomination to the Federal Reserve Board.

Press secretary Jay Carney said Monday that Diamond "fell victim to partisan obstructionism."

Senate Republicans attacked the 71-year-old MIT professor as a proponent of bailouts and big government. And Diamond wrote in a New York Times op-ed piece that it's clear the GOP wouldn't let him serve.

But Carney says President Barack Obama believes Diamond would have brought knowledge and expertise to the Fed board.