Investing Answers Building and Protecting Your Wealth through Education Publisher of The Next Banks That Could Fail
Investing Answers Building and Protecting Your Wealth through Education Publisher of The Next Banks That Could Fail

Ben Bernanke

What it is:

Ben S. Bernanke is the chairman of the United States Federal Reserve (the Fed). As Fed chairman, Bernanke also chairs the Board of Governors of the Federal Reserve and the Federal Open Market Committee (FOMC)

How it works (Example):

Ben Shalom Bernanke was born in Georgia in 1953. His father was a pharmacist and a mother was teacher. A gifted student, he was valedictorian of his high school and went on to earn an A.B. degree in Economics from Harvard University and a Ph.D. in Economics from the Massachusetts Institute of Technology.

Between 1979 and 2002, Bernanke held full-time teaching positions at Stanford University and Princeton University as well as a visiting professorship at New York University. He left academia in 2002 after being elected to the Federal Reserve Board of Governors

Bernanke served as chief of the President's Council of Economic Advisors (during President George W. Bush's administration) before succeeding Alan Greenspan as Federal Reserve Chairman in early 2006. 

Why it Matters:

Ben Bernanke's role as Chairman of the Federal Reserve is to maintain stability in the United States economy through monetary policy. Bernanke works with members of the Board of Governors as well as the Federal Open Market Committee to determine interest rate adjustments and the sales and purchase of government securities. 

To learn more about Bernanke and the Federal Reserve, click here to read 15 Insider Facts to Demystify the Federal Reserve.

Related Terms View All
  • Tax Reform Act of 1993
    The Tax Reform Act of 1993 had several components that received a lot of attention. The...
  • Deferred Income Tax
    Certain accounting practices and tax laws often result in a portion of a company's income...
  • European Option
    Suppose an investor buys a European call option on March 1st that expires on the third...
  • Taxpayer Bill of Rights
    In 1988, Congress passed the first Taxpayer Bill of Rights. Congress then updated it in...
  • Hazard Insurance
    Let's say John Doe borrows $100,000 to buy a house. Company XYZ lends him the money and...