Krueger was the Herald L. and Caroline L. Ritch Professor in Humanities and Sciences in the Department of Economics at Stanford University.
Ms Krueger had previously taught at the University of Minnesota and Duke University and, from 1982 to 1986, was the World Bank's Vice President for Economics and Research.
Krueger is a Distinguished Fellow and past President of the American Economic Association, a member of the National Academy of Sciences, and a Research Associate of the National Bureau of Economic Research.
Krueger, who was in Washington at the time of the announcement, will work with Köhler as second in command at the capital-based fund, which provides financial support to countries in monetary distress and seeks to promote stable economic growth globally.
A specialist in financial institutions and international trade, Krueger holds several positions at Stanford: She is the Herald L. and Caroline L. Ritch Professor in Humanities and Sciences in the Department of Economics, director of the Center for Research on Economic Development and Policy Reform (CREDPR) and a senior fellow at the Hoover Institution.