Should-Read: Alexander William Salter and Daniel J. Smith: The Role of Political Environments in the Formation of Fed Policy Under Burns, Greenspan, and Bernanke

Should-Read: Alexander William Salter and Daniel J. Smith: Political Economists or Political Economists? The Role of Political Environments in the Formation of Fed Policy Under Burns, Greenspan, and Bernanke: “We analyze the writings and speeches of… Arthur Burns, Alan Greenspan, and Benjamin Bernanke…

…as they transitioned to becoming chairman of the Fed. The tension between their previously stated views and their subsequent policy stances as chairman of the Fed, suggest that operation within political institutions impelled them to alter their views. Our findings offer additional support for incorporating the concerns of political economy into monetary models and structures…