Head of the US Federal Reserve

Chairman of the US Federal Reserve Board since February 2006. In 2005-2006, he served as Chairman of the Council of Economic Experts under the US Presidential Administration. From 2002-2005, he was a member of the Fed's Board of Governors. Prior to that, he taught macroeconomics at leading US universities for more than twenty years. He is the author of numerous scientific publications and holds a Ph.D. in economics.

Ben Shalom Bernanke was born December 13, 1953 in Augusta, Georgia, into an Orthodox Jewish family,. His father, Philip Bernanke, worked as a pharmacist and, in his spare time, as a local theater administrator, and his mother, Edna Bernanke, was a school teacher. In the mid-1950s, the family moved to Dillon, South Carolina where Philippe Bernanke took over the family pharmacy business.

Already at the age of three, Bernanke knew numbers, knew how to count coins, freely added and subtracted. When he was eleven years old, Bernanke won a school spelling contest in South Carolina: at first he was removed from one of the stages due to an alleged mistake, but he insisted and proved himself right. True, in the national competition, Bernanke nevertheless made a mistake in spelling the word "edelweiss" (edelweiss) and was not among the winners,. At school, he showed himself as diligent student. AT final testing Bernanke scored 1590 points out of 1600 possible , , . He also independently studied mathematical analysis which was not included in school curriculum, and mastered the technique of speed reading, .

After leaving school in 1971, Bernanke entered Harvard University, where he first studied English and mathematics, and later became interested economic disciplines. In 1975, he received a bachelor's degree in economics with honors (summa cum laude - "with the highest praise"), and was accepted into the prestigious student fraternity "Phi Beta Kappa" (Phi Beta Kappa Society) . In the same year, a young Harvard graduate applied to the Massachusetts Institute of Technology, upon graduation from which he was awarded a Ph.D. in economics in 1979.

In 1979, Bernanke began teaching and lectured in economics at Stanford University's Business School until 1985. In 1985, Bernanke became a professor at the School of Public and international studies named after Woodrow Wilson at Princeton University, where he served as dean of the Faculty of Economics from 1996-2002,. In addition, Bernanke lectured at the Massachusetts Institute of Technology (1989-1990) and New York University (1993),,.

By the early 2000s, Bernanke had become widely known in academic and business circles. He has become a respected analyst thanks to his numerous publications on acute issues of macroeconomics and monetary policy,,. In July 2001, Bernanke was named editor of the American Economic Review.

Since the late 1980s, Bernanke has been actively engaged as an expert by the administrations of the Federal Reserve Banks of Philadelphia (1987-1989), Boston (1989-1990) and New York (1990-1991, 1994-1996). From 1990 to 2002, he served on the advisory board of the New York Fed.

In August 2002, Bernanke became a member of the Board of Governors of the Federal Reserve System (FRS). After leaving the Board of Governors, from June 21, 2005 to January 31, 2006, Republican Bernanke headed the Council of Economic Experts during the US presidential administration,,. On October 24, 2005, President George W. Bush proposed that Bernanke be appointed chairman of the Fed's Board of Governors. In this post, he replaced Alan Greenspan, whose term ended on January 31, 2006. On this day, the candidate proposed by the US President was approved by the Senate, and on February 1, 2006, Bernanke took the oath and took office.

From that moment on, Bernanke was in charge of key issues of the monetary and credit policy of the United States, including the regulation of the value of the base discount rate and monetary control. At the time of his arrival at the Fed, the American economy successfully overcame a number of crises, the inflation rate was low, and unemployment was declining. The new chief US treasurer has repeatedly stated that he intends to follow the same path as his predecessor. However, Greenspan and Bernanke had significant disagreements in assessing important economic indicators. Unlike Greenspan, who in every possible way restrained the growth of inflation, Bernanke sees the main danger for the American economy in deflation and advocates inflation planning. Of particular notoriety was Bernanke's speech in November 2002 with a report on monetary policy, in which he pointed out the danger of deflation. Bernanke said at the time that the US could create inflation at any time by printing as many dollars as needed. In the same speech, he mentioned the famous image of the laureate Nobel Prize in economics, Milton Friedman - a helicopter throwing money from the sky, for which experts called Bernanke Ben the helicopter (Helicopter Ben),.

Bernanke's principled position allowed analysts to predict an increase in the dollar supply. On February 15, 2006, in the US Congress, Bernanke's first speech as head of the Fed, stock indices responded with growth.

The main instrument of the Fed, which allowed Bernanke to quickly influence the situation, was the regulation of the value of the discount rate (refinancing rate). In 2006, it increased three times - on March 28, May 9 and June 29, and in the autumn of 2007 its rapid decline began. On September 18, she lost half a percent, on October 31 and December 11 - another 0.25 percent each. On November 9, 2007, Bernanke said that in the fourth quarter, Fed specialists expect a significant slowdown in economic development U.S.A . The stabilization measures taken by the FRS, including the reduction of the refinancing rate, did not produce the expected effect. The emergency rate cut, which Bernanke was forced to decide on January 21, 2008, only somewhat stopped the collapse of the national and world stock markets,. Subsequent rate cuts also failed to avert the crisis.

Despite the measures taken by the Fed, already in April 2008 Bernanke was forced to admit the likelihood of a slight recession in the US economy, and in May the Fed lowered its forecast for the country's economic growth to 0.3-1.2 percent. At the same time, the state was forced to provide financial support a number of large companies that were on the verge of bankruptcy - among the rescued were, in particular, the largest Insurance Company United States American International Group (AIG), mortgage agencies Fannie Mae and Freddie Mac, Bear Stearns (although another big bank Lehman Brothers still had to file for bankruptcy due to the refusal of assistance from the Fed). In early October 2008, the US Congress passed a plan proposed by Secretary of the Treasury Henry Paulson, which called for massive government intervention in the economy to save it: $700 billion was proposed to be invested in it. And although these funds were administered by the Treasury Department, and not the Fed, Bernanke actively supported the "Paulson Plan", , , , .

In early 2009, the US economy began to recover, and Bernanke said that the recession could end as early as the end of 2009. Meanwhile, significant public investment led to a sharp increase in the deficit, which by July 2009 for the first time in US history exceeded a trillion dollars, despite the fact that shortly before, in June, Bernanke called on the US administration to make efforts to combat the growing deficit and at the same time opposed the increase public debt, . Bernanke's financial policies drew criticism from both conservative Republicans and the Democrats on the left. At the same time, in June 2009, Barack Obama, who had taken office six months earlier, spoke positively about Bernanke's work, and in July, leading experts interviewed by Bloomberg recognized Bernanke the best wrestler with the crisis in the world. On July 29, 2009, the Fed regular report announced a partial stabilization of the American economy,.

On August 25, 2009, Obama announced his intention to propose that Bernanke be appointed head of the Fed for a second term,,. In December, the US Senate Banking Committee approved the re-election of Bernanke, and on January 28, 2010, his appointment for a second term was confirmed by the US Senate.

Bernanke is married. His wife Anna Bernanke (Anna Bernanke), née Friedmann (Friedmann), was educated at Wellsey College and Stanford University. Ben and Anna got married on May 29, 1978. In 1982, the couple had a son, Joel (Joel A. Bernanke), and in 1986, a daughter, Alice Gale (Alyssa Gale Bernanke). Bernanke's wife teaches Spanish at the prestigious private National Cathedral School.

As a child, Bernanke became interested in baseball and was even the sports editor of the school newspaper. At first he supported the Boston Red Sox team, and after moving to the capital, for the Washington Nationals club,. Bernanke, thanks to his maternal grandfather, has been familiar with the liturgical practice of Judaism since childhood and speaks fluent Hebrew,,.

Used materials

Jennie Aversa. Analysis: Bernanke's Senate Fight May Undercut Fed. - The Associated Press, 29.01.2010

Senate panel approves Bernanke nomination. - Reuters, 17.12.2009

Timeline of key moments during Bernanke's tenure. - The Associated Press, 26.08.2009

Jon Hilsenrath, Elizabeth Williamson, Jonathan Weisman. Calm in Crisis Won Fed Job. - The Wall Street Journal, 26.08.2009

Greg Robb. Bernanke reappointed for second term. - market watch, 25.08.2009

Jeannine Aversa. Fed survey: Economy finally showing signs of stabilizing in some regions. - The Associated Press, 30.07.2009

Summary of Commentary on Current Economic Conditions by Federal Reserve District. - The Federal Reserve Board, 29.07.2009

Rich Miller. Bernanke Gets Top Marks From Global Investors in Poll. - Bloomberg, 22.07.2009

Steve Schifferes. Bernanke's future - and the Fed "s. - BBC News, 20.07.2009

Martin Crutsinger. Budget deficit tops $1 trillion for the first time. - The Associated Press, 14.07.2009

Bernanke says US needs to address deficits. - Agence France-Presse, 03.06.2009

Mark Felsenthal. The head of the US Federal Reserve urged to fight the budget deficit. - Reuters, 03.06.2009

Fed chief Bernanke: recession could end in "09. - The Associated Press, 15.03.2009

Tom Raum. Bush signs $700 billion bailout bill. - The Associated Press, 04.10.2008

Ben Shalom Bernanke took over as chairman of the Federal Reserve Board on February 1, 2006, replacing Alan Greenspan. Congress did so because Bernanke knew how monetary policy contributed to the Great Depression and believed in inflation targeting.

crisis manager

To prevent a global depression in the early stages of the banking crisis, he created many innovative Fed tools.

Bernanke led the US Federal Reserve when it took on new roles, such as bailing out Bear Stearns and insurance giant AIG with $150 billion in bailouts. To stop the global panic, the Fed borrowed financial institutions$540 billion.

Ben Bernanke (pictured later in the article) also pushed for more open market operations when lower interest rates alone were not enough to end the 2008 crisis. He pursued a policy of simultaneously lowering long-term interest rates and raising short-term ones.

Ben Bernanke resigned as Fed chief on January 31, 2014. He was replaced by former deputy head of the Federal Reserve Janet Yellen, who is sympathetic to his policies.

Importance to the US economy

Chairman Ben Bernanke was responsible for directing US monetary policy. The importance of the role of the Fed has increased significantly over last decade because the huge national debt complicated the conduct of budgetary policy. As a spokesman for the Fed, Bernanke was the country's chief economic expert, and his words influenced the stock market and the dollar. During his tenure as Chairman of the Federal Reserve, he was the most important person in the US and therefore in the global economy.

Duties of the Fed Chairman

While the Federal Open Market Committee is in charge of setting and executing monetary policy, the Fed chairman has traditionally taken the lead. Since he is appointed for a four-year term, he is expected to be more independent than an elected executive which is responsible to the voters. This allows the Fed to work on long term rather than respond to momentary political pressure. The Fed's instruments, such as the federal funds rate, are slow to move for six months. US economy like big ship, needs a gradual direction. Stop-go monetary policy leads to uncertainty, which was one of the main causes of the stagflation of the 1970s.

G.

Under Bernank, the Fed used the tools available to it in a very creative way. Previous chairmen have only used the federal funds rate - raising it to stop inflation or lowering it to prevent a recession. Between September 2007 and December 2008, Bernanke decisively cut the rate 10 times from 5.25% to 0%.

But that was not enough to restore liquidity to banks that panicked after the default of subprime mortgages. These loans were reformulated and sold as mortgage-backed securities so complex that no one really knew who was in bad debt.

As a result, banks stopped short-term lending, which was commonly used as a way to meet the Fed's reserve requirements. In response, Bernanke weakened them, lowered them, and finally provided credit through the discount window himself.

When that wasn't enough, in December 2007 he created TAF, through which the Fed lent billions of dollars to banks, taking bad debts as collateral. TAF was meant to be a temporary measure until financial institutions will not write off bad debts and will not start lending to each other again. When that didn't happen, TAF got bigger, peaking at US$1 trillion in June 2008.

Saving the global financial system

Bernanke worked with central banks around the world to restore liquidity when credit markets were frozen. He increased overnight and short-term credit swap lines designed to keep the U.S. currency in trade with other countries by $180 billion. This was necessary because the banks began stockpiling cash in a panic. They were afraid to lend to each other because they didn't want to be left with subprime mortgage derivatives.

In April 2008, Ben Bernanke's Fed held its first emergency meeting in 30 years to guarantee Bear Stearns loans so that JP Morgan could buy them. This avoided the $10 trillion in default that Bear Stearns owned, and the banks were able to breathe a sigh of relief for several months. In the II quarter. By 2008, the economy was growing, and many thought that disaster had been averted.

But in September 2008, the world's largest insurance company AIG announced a possible bankruptcy. AIG has insured trillions of dollars of mortgages worldwide. If the company collapsed, it would hurt every bank, hedge fund and Pension Fund who had mortgages as an asset securities. Bernanke said AIG support pissed him off more than anything else during the recession. AIG has assumed exposure to non-regulated products such as credit default swaps by using cash public insurance policies.

Criticism

Many lawmakers and economists have criticized Helicopter Ben for injecting many trillions of dollars into the economy, potentially causing inflation and increasing debt. Others blamed him for not foreseeing the recession in time. He was charged with concealing information about banks that received up to $ 2 trillion in TAF loans. Rep. Ron Paul and others have called for an audit by the Fed to disclose the names of these financial institutions. Ben Bernanke, who was not well received by many legislators, was in danger of not being reappointed in January 2010. But Obama did it with ease.

Life after retirement

Soon after the resignation, a book of memoirs about the crisis and its consequences appeared, authored by Ben Bernanke. "The Courage to Act" describes his time at the head of the Fed, and also contains an admission that he is no longer a Republican, as he was fed up with "the predisposition of members of this party to the ignorance of the far right." According to him, today he is a moderate independent and plans to remain so in the future.

• "Non-monetary consequences of the financial crisis during the spread of the Great Depression",
• Macroeconomics of the Great Depression
• "Inflation targeting: lessons from international experience",
• textbook "Macroeconomics" (Ben Bernanke, Andrew Abel).

In February 2014, he was made an Honorary Fellow of the Brookings Institution. Advise the Hutchins Center on public information about tax and monetary policy and promote its effectiveness.

Ben Bernanke: biography

Bernanke was born on 12/13/53 in Augusta, Georgia, and grew up in Dillon, South Carolina. Ben's father was a pharmacist and his mother was a teacher.

At age 12, he won the state spelling contest. He independently studied differential and integral calculus because this subject was not available in his school. Ben also played the alto saxophone.

He graduated summa cum laude in economics from Harvard University (1975) and received his Ph.D. from MIT (1979).

He began teaching economics at where he worked from 1979-1985. He became a full professor in 1985 when he moved to Princeton University and has also been a visiting faculty member at New York University and MIT. He has published extensively in a number of economic issues, including topics on macroeconomics, monetary policy, the Great Depression, and business cycles.

He received Guggenheim and Sloan Fellowships, and in 2001 became editor of the American Economic Review. AT next year he was appointed to the Fed's Board of Governors and became known for his meticulous research and diplomacy when opinions differed among governors. Bernanke's political influence became apparent in early 2005 when he was appointed chairman of the President's Council on Economic Affairs.

In 2009, Time magazine named him Man of the Year.

Philosophy

Ben Bernanke was less outspoken than Greenspan, who regularly spoke out on non-monetary issues, including budget deficits and tax cuts. He was also a strong advocate for a more transparent Federal Reserve, a clear departure from Greenspan's "fed language" to keep markets from overreacting to his remarks.

A source of information to get an idea of ​​the personal philosophy that Ben Bernanke adhered to is the economist's books and commentaries.

Inflation targeting

Ben Bernanke reversed the course of the Greenspan-era Fed by setting a specific numerical inflation target. While many European banks set specific targets, the United States did not, and Greenspan was not in favor of such an approach.

In the early days of Bernanke, these basic philosophical and stylistic differences with Greenspan stirred up the markets. The possibility of a shift to a targeting policy has worried some analysts, as Greenspan has never tried to keep a firm bet. This awkwardness was removed when Bernanke stopped voicing specific numbers.

Since then, he has continued the Fed's policy of being more open, especially when he increased the frequency of his forecasts in late 2007. The Federal Reserve has begun issuing quarterly forecasts for economic growth and prices, up from half a year earlier. They also began to cover a three-year period, compared to the previous two years.

Deflation

Ben Bernanke's study of the Great Depression instilled in him a lifelong interest in the effects of deflation and its impact on people's lives. He also developed a strong dislike for deflation and placed a strong emphasis on preventing it.

His feelings on the matter were clarified when, in November 2002, he gave a speech titled "Deflation: How to ensure it doesn't." He was referring to the economist's idea of ​​dropping money into the economy from a helicopter. Increasing market liquidity by increasing the availability of money to borrowers and lowering interest rates to increase borrowing helps stimulate the economy and stem deflationary pressures. However, in the context of the meeting, it was meant to illustrate the range of tools the Fed has at its disposal, even in a zero-rate environment.

Inflation

Although containment of deflationary pressures by increasing the money supply may have a clearly inflationary effect, this does not mean that Bernanke underestimated inflation. He supported its targeting to keep it relatively low and stable to stimulate sustainable economic growth.

Ben Bernanke (virtual cards): reviews

The name of the outstanding economist, who brought the global financial system out of the crisis, did not fail to take advantage of the scammers. "Total" for 444 rubles, they promise to pay 2-59 thousand rubles. The instructions are accompanied by a video of Ben Bernanke speaking. Virtual cards, reviews of which can be found on the Internet, are a system of fraudulent withdrawal of funds from gullible citizens. And nothing more.

Ben Bernanke, an economist, was well versed in the aftermath of the Great Depression, one of the biggest financial disasters in the United States, and his style was shaped by his years at the Federal Reserve. His appointment continued the course set by his predecessor and was well received by the financial markets, as the succession of the chairman of the Fed is the key to their stability.

Bernanke, an economist at the Brookings Institution, served two terms as Chairman of the Board of Governors of the US Federal Reserve System. He served from 2006 to 2014. Prior to that, Bernanke was a tenured professor at Princeton University ( Princeton University), where he headed the Department of Economics from 1996 to 2002.

He met his future wife Anna Ben on a blind date. She was a student at Wellesley College and then went on to graduate school at MIT. The couple had two children.

Ben Shalom Bernanke was born December 13, 1953 in Augusta, Georgia (Augusta, Georgia), and grew up in Dillon, South Carolina (Dillon, South Carolina). His father was a pharmacist and worked as a theater manager. His mother was an elementary school teacher. His brother Seth is a lawyer in Charlotte, North Carolina (Charlotte, North Carolina). His sister Sharon is the administrator of the Berklee College of Music in Boston (Berklee College of Music, Boston).

Gifted in many ways, 11-year-old Ben won serious spelling competitions. In his teenage years, he played the saxophone in an orchestra perfectly, tried himself as a writer and planned to write a novel. Young Bernanke got a job in construction new hospital and made tables for the restaurant. He worked all summer before entering Harvard ( Harvard University).

The parents feared that a life away from home and student protests would have a corrupting effect on Ben and his Jewish faith. They wanted him to study in South Carolina, but academic professor Kenneth Manning convinced them that Bernanke needed to go to Harvard. In 1975, Bernanke received a bachelor's degree (cum laude) in economics. In 1979, he received a Ph.D. in economics from the Massachusetts Institute of Technology (MIT).

Bernanke taught at the Stanford Graduate School of Business from 1979 to 1985 and was a visiting professor at New York University ( New York University) and a tenured professor at Princeton University. From 2002 to 2005, he was a member of the Board of Governors of the US Federal Reserve System. In delivering his first speech in this position, "Deflation: How to Make Sure It Doesn't Happen," Ben laid out what has since been called the "Bernanke Doctrine."

On February 1, 2006, President Bush appointed Bernanke Chairman of the Board of Governors of the US Federal Reserve System. Then on August 25, 2009, President Obama announced that Bernanke, whose temperament, courage and creativity helped prevent another Great Depression in 2008, should remain the head of the US Federal Reserve for a second term. According to the results of the US Senate vote, Ben received 70 votes in favor and 30 votes against. Subsequently, he stated that he did not intend to nominate his candidacy for a third time, and Janet Yellen became his successor in 2014.

As head of the US Federal Reserve, Bernanke used mathematical analysis to make certain decisions. He is very interested in the Great Depression, and Ben believes that it was protracted because of the errors of the Fed, which needed to be corrected by increasing the money supply. In 2009, Time magazine named Bernanke its Person of the Year. Paul Giamatti played Bernanke in the 2011 TV movie Too Big to Fail.

Bernanke was nicknamed "Helicopter Ben" after referring to Milton Friedman's idea that sometimes throwing money around from a helicopter can help fight inflation.

Ben Shalom Bernanke (English) Ben Shalom Bernanke; December 13, 1953, Augusta, Georgia) - American economist, chairman of the US Federal Reserve (since February 2006), chairman of the White House Council of Economic Experts, nickname - "Ben the Helicopter" ( Helicopter Ben) - for the idea that sometimes, in a crisis, "throwing money from a helicopter" can be a necessity. Time magazine named Bernanke its 2009 Person of the Year.

Ben Bernanke was born in Augusta, Georgia on December 13, 1953 and grew up in Dillon, South Carolina. His father Phillip worked as a pharmacist and his mother worked as a teacher. He has younger brother and sister. His brother is a lawyer in North Carolina, sister - at the Berklee College of Music in Boston. Bernanke is a Jew by nationality, professes Judaism.
Even as a child, Bernanke showed extraordinary abilities. He improved his knowledge of mathematics by studying baseball statistics. His mother recalls that even when he was a child, he had a talent for mathematics. When he was eleven years old, he won the state spelling contest. In high school, he was the editor of the school newspaper and as an outstanding student, he gave the closing speech at the school prom. Moreover, he studied higher mathematics and scored the state's best score on the SAT (1590). Bernanke also worked on the novel. The State of South Carolina named him one of their very best saxophonists.

Bernanke entered Harvard University, although at first his parents did not want him to study there. They feared that student protests would corrupt him and he would lose touch with Judaism. His parents wanted Bernanke to study closer to home, at the University of South Carolina. However, Harvard professor Kenneth Manning convinced Ben's parents that he needed to study at Harvard, where he entered.
At Harvard, Bernanke was an excellent, diligent student. He received his bachelor's degree in economics with honors (summa cum laude) in 1975. At first he decided to study economics however he changed his mind and started studying English or Mathematics. His friends say that his interest in English shows his love for the language. This is said to be an unusual trait for an economist, and when Bernanke became chairman of the Federal Reserve, people noticed that, unlike previous chairmen, Bernanke was able to articulate the plans and policies of the Federal Reserve.

In 1979, Bernanke received his Ph.D. from the Massachusetts Institute of Technology. In graduate school, Bernanke studied monetary economics. The topic of the dissertation is “Long-term liabilities, dynamic optimization and economic cycles» (« Long-term Commitments, Dynamic Optimization, and the Business Cycle»). Academic Supervisor Bernanke was Stanley Fischer ( Stanley Fisher).

After receiving doctoral degree Bernanke taught at Stanford University from 1979 to 1985. From 1985 to 2002, Bernanke taught at Princeton University, and from 1996 to 2002 was chairman of the Princeton economics department. His Princeton colleague Alan Blinder ( Alan Blinder) says that Bernanke was an excellent department head because of his diplomatic talent.

In 2002, Bernanke became a member of the Board of Governors of the US Federal Reserve System (FRS). On the Board of Governors, Bernanke worked closely with Fed Chairman Alan Greenspan. Bernanke quickly won the respect of the members of the Council. Studies show that when Bernanke was a manager, he had the most big influence to American markets after Greenspan.

In 2006, President George W. Bush offered Bernanke the chairmanship of the Fed. In the US Senate, Bush's choice was approved almost unanimously (only one vote was cast against the appointment). On February 1, 2006, Bernanke became chairman of the Fed.

On August 25, 2009, US President Barack Obama proposed appointing Ben Bernanke as chairman of the Fed for a second term.

Scientific views

Bernanke adheres to conservative views on the economy, although his colleagues say that in making his decisions he is guided not by predilections, but by facts. Bernanke's methods are not like Greenspan's. Greenspan was guided by his intuition, while Bernanke was guided by mathematical analysis. His idol is said to be Milton Friedman and he believes in the free market.
Ben Bernanke is interested in the Great Depression. Like Milton Friedman, Bernanke believes that the Great Depression was particularly difficult and long due to the mistakes of the Federal Reserve. He believes that the system needed to increase the money supply.

One of the main points of his doctoral dissertation is that investors make many wrong moves due to lack of information. Bernanke believes that the Federal Reserve should set fixed, known goals and communicate clearly American citizens about them so that investors have more information.
Bernanke believes that the Federal Reserve should not try to fight "economic bubbles", but simply focus on such standard goals as full employment and lower inflation.
Bernanke has been criticized for believing that if the Federal Reserve had fought against the "economic bubble" in real estate prices, the US could have avoided an economic crisis.

- A well-known economist, former chairman of the US Federal Reserve System, author of many books on economics.

Citizenship: USA
Date and place of birth: December 13, 1953, Augusta, Georgia, USA
Education and degree: bachelor's degree from Harvard University; PhD from the Massachusetts Institute of Technology

Family and Children:

• Father: Philip Bernanke - worked as a pharmacist (a family pharmacy business) and, in his spare time, as an administrator of the local theater.
• Mother: Edna Bernanke is a teacher at the school.
• Younger brother: attorney in North Carolina.
• Younger sister: teacher at the Berklee College of Music in Boston.
• Wife: Anna Bernanke - née Friedmann, studied at Wellesley College and Stanford University; currently teaches Spanish at the prestigious National Cathedral School.
• Son: Joel Bernanke is 25 years old and attending medical school.
• Daughter: Alyssa Bernanke is 22 years old, studying at St. John's College.

Career:

• 1971 - graduated from high school and entered Harvard University;
• 1975 - received a bachelor's degree in economics with honors ( summa cum laude) at Harvard;
• 1979 - Bernanke received a Ph.D. from the Massachusetts Institute of Technology;
• 1979-1985 - taught at Stanford University;
• 1983 - Works as an analyst at the Alfred P. Sloan Foundation;
• 1985 - Bernanke became a professor at the Woodrow Wilson School of Public and International Studies at Princeton University;
• 1985 - began teaching at Princeton University;
• 1989-1990 - lectured at the Massachusetts Institute of Technology and New York University (1993)
• 1996-2002 - became dean of the economics department at Princeton University;
• 2001 - was appointed editor-in-chief of the American Economic Review;
• 2002 - Bernanke became a member of the Board of Governors of the Federal Reserve System (FRS) of the United States;
• 2005 - led the President's Council of Economic Advisers under George W. Bush;
• 2006 - became chairman of the US Federal Reserve;
• 2010 - was appointed chairman of the US Federal Reserve for a second term;
• 2014 - resigned as head of the Fed, giving way to.

Biography

Ben Shalom Bernanke was born on December 13, 1953 in Augusta (Georgia, USA), into an Orthodox Jewish family. His father, Philippe Bernanke, worked as a pharmacist and, in his spare time, as a local theater administrator, and his mother, Edna Bernanke, was a school teacher. In the mid-1950s, the family moved to Dillon (South Carolina, USA), where Philip Bernanke headed the family pharmacy business.

Ben began to learn the basics of economics early. For example, already at the age of three, Bernanke knew numbers, knew how to count coins, freely added and subtracted. At school, Ben was a successful student and in the final test, Bernanke scored 1590 points out of 1600 possible. He also independently studied mathematical analysis, which was not part of the school curriculum.

After leaving school in 1971, Bernanke entered Harvard University, however, at first he began to study foreign languages. Later he became interested in mathematics and economic disciplines. In 1975, he received a bachelor's degree in economics with honors and was admitted to the prestigious Phi Beta Kappa Masonic student fraternity. (In this Masonic lodge consists of the 41st President of the United States George W. Bush and some members of his family. Therefore, there is reason to believe that Bernanke is Bush's henchman). In the same year, Ben Bernanke decided to enter the Massachusetts Institute of Technology, after completing his studies in 1979, he was awarded a Ph.D. in economics.

After graduating from the Massachusetts Institute of Technology, Bernanke began teaching and lectured in economics at Stanford University's Business School until 1985. In 1985, Bernanke became professor at the Woodrow Wilson School of Public and International Studies at Princeton University, where he served as dean of the economics department from 1996-2002. Bernanke also continued to lecture at the Massachusetts Institute of Technology (1989-1990) and New York University (1993).

It was at Princeton University that he began to develop the theory Nobel laureate Milton Friedman on the role the Fed played in causing the Great Depression, and has written extensively on the mechanics, practices, and history of various central banks. At this time, Bernanke earned a reputation as an excellent leader. Bernanke is consistently and deservedly gaining authority.

By the early 2000s, Bernanke had become widely known in academic and business circles. He has become a respected analyst through his numerous publications and books on critical issues in macroeconomics and monetary policy. He becomes a respected academic expert on the most controversial issues in the monetary sector of the economy. In July 2001, Bernanke was appointed editor of the American Economic Review.

Bernanke approached his current position in 2002. White House decided to improve the quality of monetary expertise at the Fed, and when a vacancy arose in August 2002, Ben Bernanke was invited to serve on the Fed's seven-member board. Alan Greenspan at first reacted to the newcomer wary of criticism from the scientist. But everything was shattered.

Ben turned out to be a sociable and accommodating colleague. He helped, for example, to find a compromise in the long-standing dispute between Fed board members over requirements for banks that collect personal information about your borrowers. While defending his views on the need for inflation targeting in the corridors of the Fed, he rarely made it the topic of his speeches at the Federal Open Market Committee (FOMC) meetings where rates were set. And Ben managed to develop a good, working relationship with Greenspan, helping him prepare responsible speeches. Despite the fact that there were disagreements between them too.

In the summer of 2005, the White House appointed Bernanke to chair the President's Council of Economic Advisers. Many regarded this appointment as probation prior to his appointment as chairman of the Fed.

On October 24, 2005, President George W. Bush proposed that Bernanke be appointed chairman of the Fed's Board of Governors. In this post, he replaced Alan Greenspan, whose term ended on January 31, 2006. On this day, the candidate proposed by the US President was approved by the Senate, the next day, on February 1, 2006, Bernanke took the oath and took office.

So, Alan Greenspan, the irreplaceable head of the Fed, who led the system for more than 18 years, is being replaced by a new chairman of the Federal Reserve System (FRS) of the US Central Bank.
When it became known that a certain Bernanke would be appointed as the new Greenspan, the dumbfounded public reacted with bewilderment.

But new head The Federal Reserve promised the continuity of the course and stability in the financial field. This promise Bernanke is still performing and therefore financial world mostly optimistic.

Bernanke inherited from Alan Greenspan low inflation, low unemployment and the experience of successfully overcoming several major crises. Bernanke also inherited a highly professional Fed staff, which has repeatedly demonstrated its ability to act competently in difficult circumstances, even in the absence of a boss.

Financial market participants consider Ben Bernanke a supporter of a more moderate monetary policy, in contrast to Alan Greenspan. Mr. Bernanke is not expected to aggressively raise rates. Economists believe that the rate will be quite stable during the period of Ben Bernanke. In the course of discussions at the Fed, Ben Bernanke considered a greater danger for the US than inflation, its opposite, deflation, when money becomes too expensive. Inflation hurts consumers but reduces the government's debt obligations, while the process of deflation does not make life better for either the government or the people.

Interests, hobbies:
plays squash in his spare time;
as a child, he was very fond of baseball (he was even a sports editor of the school newspaper);
plays the saxophone in a circle of close people.

Quotes:

People about Bernanke

“If inflation rises, he will stop it. He appears to be a bigger dove than Greenspan in a low interest rate environment. In the short term, it will be very difficult to tell the difference between the Greenspan Fed and the Bernanke Fed." (Standard & Poor's Ratings Services Lead Economist David Weiss)

“It worries me that he should become the head of the Federal Reserve. His actions will be tied to Bush's wishes. Bush studied him well after he appointed him head of the Council of Economic Experts. And he feels he can make a difference.” (John Tierney of Deutsche Bank)

“He is a very serious and knowledgeable macroeconomist. Therefore, I think that the flexibility, the line pursued by Greenspan will continue in the future. Especially considering that, most likely, the market has already incorporated this into its expectations, into its forecasts.” (Chief Economist of Troika Dialog Evgeny Gavrilenkov)

“During a career marked by significant achievements, Ben has accomplished great job in monetary policy: taught economics at a number of our top universities and served successfully on the Board of Governors of the Federal Reserve System. He is known for his outstanding intellectual qualities, dedication, and is deeply respected by the international financial community. He will be an excellent leader of the Federal Reserve System.” (George Bush)

Bernanke quotes

November 21, 2002
“The American government has a technology called the printing press (or today its electronic equivalent) that allows it to produce as many dollars as it wants for free.”

June 2004
“In the science of economics, there are many significant areas of knowledge where there is agreement, but there are also areas where discord reigns. It's unavoidable".

February 16, 2006
"I don't think the Chinese own this large quantity American assets to threaten our country economically."

October 4, 2006
“If the current trend continues, then the typical American employee in a few decades will be significantly more productive than today. Thus, it can be argued that it is perfectly acceptable to allow future generations to bear the burden of population aging, as they are likely to be richer than we are today even with this burden.”

February 15, 2007
“Despite the current correction in the housing sector, the economic outlook for households remains good. Their financial situation appears to be generally favorable and default rates on all types of consumer and mortgage loans remain low.”

October 31, 2007
“It is not the responsibility of the Federal Reserve, and it would be unacceptable, to protect creditors and investors from the consequences of their financial decisions.”

January 18, 2008
“The American economy has a strong labor force, excellent productivity and technology, and deep and liquid financial market in the process of recovery."

November 5, 2010
"While low inflation is generally not a bad thing, too low inflation can pose a threat to the economy, especially when the economy is in dire straits."

“One common misconception today is that we are thought to be printing money. We don't print money."

“The money supply does not change significantly. We're lowering interest rates by buying Treasuries."

"I would like to be omniscient and anticipate the crisis."

"We are clear that we will not allow inflation to rise above 2%."

Notes:

• Bernanke is Jewish by birth and speaks Hebrew fluently;
• does not like business suits and therefore often stands out from other top managers;
• his favorite book is The Man Who Changed Everything;
• at school age, Ben wrote a novel about teenage issues. The publisher to whom he offered his book refused to print it, but advised him to continue writing;
• for a long time he was fond of studying languages, it is considered that Bernanke is the most eloquent head of the Fed in history;
• Time magazine named Bernanke "Person of the Year" in 2009;
• Bernanke is nicknamed "Helicopter Ben" for referring to Milton Friedman's idea that sometimes, in times of crisis, "throwing money from a helicopter" can be helpful in fighting deflation.

Bibliography:

• the textbook "Principles of Economics" (2001, co-authored with Robert Frank);
• "Economics. Express Course";
• "An Essay on the Great Depression" (2000);
• "The End of the Fed";
• "Macroeconomics" (Abel E., Bernanke B. - Textbook);
• Essays on the Great Depression, Princeton University Press (2005)
• Ben Bernanke, Thomas Laubach, Frederic Mishkin, and Adam Posen (2005) - Inflation Targeting: Lessons from the International Experience, Princeton University Press.
• Ben Bernanke (1992). "The Federal Funds Rate and the Channels of Monetary Transmission". American Economic Review.

media library

Bernanke at 25 Grandpa Ben's Pharmacy that Started the Family Business Young Ben
Newspaper article about winning the school competition Ben plays the saxophone Ben's vacation work in the hospital
Photo from the Harvard graduation album Ben Bernanke with his wife Anna Young Ben Bernanke

Helicopter Ben " Printing press» United States Greenspan-Bernanke disagreement It is a common misconception that we are printing money
Ben Bernanke and George Bush
Ben Bernanke and the recession Dave Granlund caricature of Ben Bernanke Re-election for a second term of Ben Bernanke