David Vance SubstackRead More
Did you see that renowned American Economist and former Chair of the Fed died earlier this week, aged 100! That’s quite an age and he lived quite a life.
Greenspan’s achievements are all tied to one of the most influential stretches in modern U.S. economic policy. He served as chairman of the Federal Reserve from 1987 to 2006, spanning five terms and four presidents. He became known for his ability to steady markets during crisis and steer policy through long periods of growth. He was the proverbial safe pair of hands.
One of his earliest major accomplishments was helping to lower inflation while he chaired the Council of Economic Advisers under President Ford from 1974 to 1977. He then moved into the private sector, building a strong reputation as an economist before returning once again to public service. His appointment to the Federal Reserve in 1987 placed him at the centre of U.S. financial decision-making just before the stock market crash that year. Talk about timing!
Greenspan is credited with helping the economy through that ‘87 crash, the early 1990s recession, the Asian financial crisis, and the massive shock after the 9/11 attacks. His willingness to act quickly on interest rates and liquidity helped preserve confidence in the financial system. He also earned credit for presiding over the longest official economic expansion in U.S. history from 1991 to 2000.
His influence extended well beyond U.S. borders. In 1999, The Sunday Times called him one of the three most powerful people in the British Isles, and he later received the French Legion of Honour and an honorary knighthood from Queen Elizabeth II. In 2005, he was awarded the U.S. Presidential Medal of Freedom. He lived long enough to have his legacy acknowledged.
Greenspan was also a writer. After leaving the Fed in 2006, he wrote two books – The Age of Turbulence and later The Map and the Territory, extending his influence as a public thinker.
Of course no one is perfect. Greenspan’s support for deregulation and his failure to restrain risky mortgage finance may have contributed to the 2008 financial crisis. That may be true but he did one thing that makes him outstanding.
He never spoke to the media. He kept his counsel to himself.
In 2026, it’s unimaginable that a Fed Chairman would keep his mouth shut.
