Alan Greenspan

1787 WordsApr 30, 20018 Pages
Alan Greenspan Alan Greenspan, the chairman of the Federal Reserve, has always fascinated the financial community. Whatever he says can make or break the markets. He is a highly educated economist with many years of experience. People seek for his advice and obey his judgments. His proclamations are repeated and expounded upon. Greenspan is loved, feared, and never ever questioned. As a result of being a strong chairman of the Fed, he has made a difference the U.S. economy through his way of dealing with inflation. Also, the presidency no longer counterbalances or even criticizes the Fed. First of all, we will consider his background. Alan Greenspan was born on March 6, 1926, in New York City. He received a B.S. in economics in 1948, an…show more content…
economy. Economist Allen Sinai said, "The Greenspan Fed is the all-time champion in American history (Church par. 1)." In 1996 and 1997 he didn't do much of anything to the interest rates. From February 1996 to December 1997, the Fed made only one change in interest rates: a quarter-point increase in March of 1997. He resisted pressure from inside and outside the Fed to slow down the economy. Instead of being overly concerned about inflation, he seemed to have accepted the idea that deep changes in the economy have made sustained growth possible without pushing prices up. (Church par. 2) Because of Alan Greenspan, the Fed has learned to be more patient. It allows the economy to grow faster than expected without putting on the brakes by raising interest rates. However, Greenspan always stays on guard. He is a renowned numbers cruncher who keeps tabs on the most obscure corners of the economy. Robin Leight-Pemberton said that he was "likely to back up his predictions by citing such obscure data as vacuum-cleaner sales in Iowa (Church Par 3)." Greenspan is reaping the praise of the financial community. There is a widely held sense that he has masterminded the nation's prosperity. As many people are becoming stockholders, they regard him as a "living
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