ALAN GREENSPAN

Economist and Chariman of Federal Reserve

of America (1987-2006)
Born March 6,1926
Washington Heights, New York
Accomplished clarinet and saxophone
player
Played at the prestigious Juilliard School

New York University
Bachelors in Economics in 1948
Masters in Economics in1950
Doctorate in Economics in1977
Also has honorary degrees from Harvard,
Pennsylvania, Yale, and Notre Dame
Townsend-Greenspan
Founded in 1954
Economic consulting firm in New York City
Used computer aided models to forecast
economic futures



Domestic Policy Chairman (Nixon Admin.)

Chairman of Economic Advisors


Chairman of the National Commission on
Social Security Reform (1981-1983)
Consideration- Mr.
Greenspan in his
tenure over the
Federal Reserve
considered all
possible outcomes in
his decisions to tweak
monetary policy.
Initiating Structure-
Greenspan initiated a
structure of tight
money because he
felt that if he could
control inflation the
economy would
remain stable.
Research shows that people who possess
these two traits are extremely successful in
the business community.
Showing consideration is so beneficial
that it leads to low levels of turnover and
absenteeism. At the same time, initiating
structure is useful in promoting high levels
of efficiency and performance( Greenberg
2010)
Supporter of Objectivist philosophy: reason, egoism,
and capitalism are cornerstones of free society
During 1950s and 1960s, wrote articles for Objectivist
newsletters
Wrote several essays for Ayn Rands book,
Capitalism: the Unknown Ideal, one supporting the
gold standard.
Later criticized by some Objectivists as abandoning
their principles for his position at the Federal Reserve
Appointed chairman of the Federal
Reserve System on June 2, 1987 by
President Ronald Reagan
Faced 1987 stock market crash within
two weeks of his appointment
Re-appointed by Presidents George
H.W. Bush, Bill Clinton, and George W.
Bush
Housing bubble
Focused more on controlling prices than
on reaching full employment
Criticized by some senators and
economists as too willing to follow the
Bush Administrations wishes in tax cuts.
Some suggested that he allowed the Fed
and the government to become too
close.
Married to television journalist Andrea
Mitchell since 1997
Works as a private consultant for firms
through his company Greenspan
Associates LLC
Working on a memoir
Steered the American economy out of the
recession of the early 1990s
Dot-com bubble
September 11
th
terrorist attacks
According to ABC news, in 1998
unemployment was at a 28 year low,
inflation was at a 11 year low, and
consumer confidence was as high as it
had been in 30 years (about.com)
Education led to big opportunities
Greenspan possesses the 2 major
characteristics of a successful leader
(Consideration/ Initiating structure)
Achieved success by being a leader and
didnt over manage the Federal Reserve

By,
Jithin Das
MBA S1