Stanley Fischer

Last updated
Rhoda Keet
(died 2020)
Stanley Fischer
Stanley Fischer (14152693510).jpg
20th Vice Chair of the Federal Reserve
In office
June 16, 2014 October 13, 2017
Education London School of Economics (BS, MS)
Massachusetts Institute of Technology (PhD)
Signature Stanley Fischer (stnly pySHr) Signature 2010.png
Academic career
Field Macroeconomics
School or
New Keynesian economics
Franklin M. Fisher [1]
Zvi Bodie [2]
Isher Judge Ahluwalia [3]
Frederic Mishkin [4]
Steven M. Sheffrin [5]
Olivier Blanchard [6]
Ben Bernanke [7]
David Hsieh [8]
Kenneth D. West [9]
Greg Mankiw [10]
Jeffrey Miron [11]
Mark Bils [12]
David Romer [13]
Ricardo J. Caballero [14]
Michael Kuehlwein [15]
D. Nathan Sheets [16]
Ilan Goldfajn [17]

Stanley Fischer (Hebrew : סטנלי פישר; born October 15, 1943) is an Israeli American economist who served as the 20th Vice Chair of the Federal Reserve from 2014 to 2017. Fisher previously served as the 8th governor of the Bank of Israel from 2005 to 2013. Born in Northern Rhodesia (now Zambia), he holds dual citizenship in Israel and the United States. [18] He previously served as First Deputy Managing Director of the International Monetary Fund and Chief Economist of the World Bank. [19] On January 10, 2014, President Barack Obama nominated Fischer to be Vice-Chairman of the US Federal Reserve Board of Governors. He is a senior advisor at Blackrock. [20] On September 6, 2017, Stanley Fischer announced that he was resigning as Vice-Chairman for personal reasons effective October 13, 2017, [21] just before his 74th birthday.



Stanley Fischer was born into a Jewish family in Mazabuka, Northern Rhodesia (now Zambia). When he was 13, his family moved to Southern Rhodesia (now Zimbabwe), where he became active in the Habonim Zionist youth movement. In 1960, he visited Israel as part of a winter program for youth leaders, and studied Hebrew at kibbutz Ma'agan Michael. He had originally planned to study at the Hebrew University of Jerusalem, but went to the United Kingdom to study after receiving a scholarship from the London School of Economics, and obtained his B.Sc. and M.Sc. in economics from 1962 to 1966. Fischer then moved to the United States to study at MIT, and earned a Ph.D. in economics in 1969 with a thesis titled Essays on assets and contingent commodities written under the supervision of Franklin M. Fisher. [1] [22] He became an American citizen in 1976.

Fischer was married to Rhoda Fischer (née Keet), whom he met during his days in Habonim. The couple has three children. When they moved to Israel, Rhoda became honorary president of Aleh Negev, a rehabilitation village for the disabled. Rhoda Fischer passed away in 2020.

Academic career

In the early 1970s, Fischer worked as an associate professor at the University of Chicago. He served as a professor at the MIT Department of Economics from 1977 to 1988.

In 1977, Fischer wrote the paper "Long-Term Contracts, Rational Expectations, and the Optimal Money Supply Rule" [23] where he combined the idea of rational expectations argued by New classical economists like Robert Lucas with the idea that price stickiness still led to some degree of market shortcomings that an active monetary policy could help mitigate in times of economic downturns. The paper made Fischer a central figure in New Keynesian economics. [24] [25] Through this critique of new classical macroeconomics Fischer significantly contributed to clarifying the limits of the policy-ineffectiveness proposition. [26]

He authored three popular economics textbooks, Macroeconomics (with Rüdiger Dornbusch and Richard Startz), Lectures on Macroeconomics (with Olivier Blanchard), and the introductory Economics, with David Begg and Rüdiger Dornbusch. He was also Ben Bernanke's, Mario Draghi's and Greg Mankiw's Ph.D. thesis advisor. [27]

In 2012, Fischer served as Humanitas Visiting Professor in Economic Thought at the University of Oxford. [28]

Banking career

Stanley Fischer at 2000 in International Monetary Fund Stanley Fischer.jpg
Stanley Fischer at 2000 in International Monetary Fund

From January 1988 to August 1990 he was Vice President, Development Economics and Chief Economist at the World Bank. He then became the First Deputy Managing Director of the International Monetary Fund (IMF), from September 1994 until the end of August 2001. By the end of 2001, Fischer had joined the influential Washington-based financial advisory body, the Group of Thirty. After leaving the IMF, he served as Vice Chairman of Citigroup, President of Citigroup International, and Head of the Public Sector Client Group. Fischer was an executive at Citigroup from February 2002 to April 2005, earning millions of dollars in salary and stock. [29]

Bank of Israel

Fischer was appointed Governor of the Bank of Israel in January 2005 by the Israeli cabinet, after being recommended by Prime Minister Ariel Sharon and Finance Minister Benjamin Netanyahu. He took the position on May 1, 2005, replacing David Klein, who ended his term on January 16, 2005. Fischer became an Israeli citizen but did not renounce U.S. citizenship. [30] [31] [32]

He had been involved in the past with the Bank of Israel, having served as an American government adviser to Israel's economic stabilization program in 1985. On May 2, 2010, Fischer was sworn in for a second term. [33]

Fischer during the WEF 2010 Stanley Fischer, Governor of the Central Bank of Israel (2) (cropped).jpg
Fischer during the WEF 2010

Under his management, in 2010, the Bank of Israel was ranked first among central banks for its efficient functioning, according to IMD's World Competitiveness Yearbook. [34]

Fischer has earned plaudits across the board for his handling of the Israeli economy in the aftermath of the global financial crisis. In September 2009, the Bank of Israel was the first bank in the developed world to raise its interest rates. [35]

In 2009, 2010, 2011 and 2012 Fischer received an "A" rating on the Central Banker Report Card published by Global Finance magazine. [36] [37]

In June 2011, Fischer applied for the post of IMF managing director to replace Dominique Strauss-Kahn, but was barred as the IMF stipulates that a new managing director must be no older than 65, and he was 67 at the time. [38]

On June 30, 2013, Fischer stepped down as governor of the Bank of Israel midway through his second term, [39] despite high popularity. [40]

U.S. Federal Reserve

American President Barack Obama nominated Fischer as Vice Chair of the Federal Reserve System, the United States' central bank, in January 2014. In nominating Fischer for the position, Obama stated he brought decades of leadership and expertise from various roles, including serving at the International Monetary Fund and the Bank of Israel. [41]

On May 21, 2014, the Senate confirmed Fischer's appointment to the Federal Reserve Board of Governors. [42] In a separate vote on June 12, he was confirmed as the vice chair. [42] Fischer succeeded Janet Yellen as vice chair; Yellen became chair of the Federal Reserve earlier in 2014. Fischer resigned for personal reasons in mid-October, 2017, 8 months before the June, 2018, expiry of his term as vice chair. [43] [44]

Awards and recognition

Fischer received an honorary doctorate from Hebrew University in 2006. [45] In October 2010, Fischer was declared Central Bank Governor of the Year by Euromoney magazine. [46]

He is a member of the Bilderberg Group and attended its conferences in 1996, 1998 and 1999. Apparently he also attended the Bilderberg conference in 2011 in St. Moritz, Switzerland. [47] However, his name does not show up on the list of participants for the year 2011 as of March 2016. He is also a Distinguished Fellow in the Council on Foreign Relations (CFR). Fischer was named a Distinguished Fellow of the American Economic Association in 2013. He is also a member of the Inter-American Dialogue. [48]

Related Research Articles

<span class="mw-page-title-main">Donald Kohn</span> American economist (born 1942)

Donald Lewis Kohn is an American economist who served as the 18th vice chair of the Federal Reserve from 2006 to 2010. Prior to his term as vice chair, Kohn served as a member of the Federal Reserve Board of Governors, taking office in 2002. Fed's veteran, he retired after 40 years at the central bank, currently serving on the Financial Policy Committee for the Bank of England and as a Senior Fellow at the Brookings Institution.

<span class="mw-page-title-main">Olivier Blanchard</span> French economist and professor

Olivier Jean Blanchard is a French economist and professor who is a senior fellow at the Peterson Institute for International Economics. He was the chief economist at the International Monetary Fund from September 1, 2008, to September 8, 2015. Blanchard was appointed to the position under the tenure of Dominique Strauss-Kahn; he was succeeded by Maurice Obstfeld. He is also a Robert M. Solow Professor of Economics emeritus at the Massachusetts Institute of Technology (MIT). According to IDEAS/RePEc, he is one of the most cited economists in the world.

<span class="mw-page-title-main">Raghuram Rajan</span> Indian economist and former governor of Reserve Bank of India

Raghuram Govind Rajan is an Indian economist and the Katherine Dusak Miller Distinguished Service Professor of Finance at the University of Chicago's Booth School of Business. Between 2003 and 2006 he was Chief Economist and director of research at the International Monetary Fund. From September 2013 through September 2016 he was the 23rd Governor of the Reserve Bank of India. In 2015, during his tenure at the RBI, he became the Vice-Chairman of the Bank for International Settlements.

<span class="mw-page-title-main">Kevin Warsh</span> American lawyer

Kevin Maxwell Warsh is an American financier and bank executive who served as a member of the Federal Reserve Board of Governors from 2006 to 2011.

<span class="mw-page-title-main">Randall Kroszner</span> American economist

Randall S. Kroszner is an American economist who served as a member of the Federal Reserve Board of Governors from 2006 to 2009. Kroszner chaired Fed's board Committee on Supervision and Regulation of Banking Institutions during the global financial crisis. He has been professor of economics at the University of Chicago since the 1990s, with various leaves, and named Norman R. Bobins Professor of Economics at the University of Chicago Booth School of Business in 2009, and serves as a senior advisor for Patomak Partners.

The MIT Department of Economics is a department of the Massachusetts Institute of Technology in Cambridge, Massachusetts.

Carl Eugene Walsh, is an American economist. He has been an economics professor at the University of California, Santa Cruz (UCSC) since 1987, and retired in 2020 as Distinguished Professor of Economics. He twice served as chair of the Economics Department at the university as well as Vice Provost for Silicon Valley Initiatives (2005-2007) and Associate Vice Chancellor for Planning and Programs (1995-1995) at UCSC. He has also been a Visiting Scholar at the Federal Reserve Banks of Kansas City (1982-1983), Philadelphia (1984-1985) and San Francisco (1987-2000).

<span class="mw-page-title-main">Maurice Obstfeld</span> American economist

Maurice Moses "Maury" Obstfeld is a professor of economics at the University of California, Berkeley and previously Chief Economist at the International Monetary Fund. He is also a nonresident senior fellow at the Peterson Institute for International Economics.

Philip Richard Lane is an Irish economist who has been serving as a member of the Executive Board of the European Central Bank since 2019 and concurrently as ECB chief economist. He previously served as Governor of the Central Bank of Ireland from 2015 to 2019. As ECB Chief Economist, Lane is seen by many as providing an academic counterweight to the traditional political abilities of ECB President, Christine Lagarde.

<span class="mw-page-title-main">Michael Bruno (economist)</span> Israeli economist

Michael Peter Bruno was an Israeli economist. He was governor of the Bank of Israel and a former World Bank Chief Economist.

<span class="mw-page-title-main">Arvind Panagariya</span>

Arvind Panagariya is an Indian-American economist who is the Jagdish Bhagwati Professor of Indian Political Economy at Columbia University and is also the Director of Deepak and Neera Raj Center on Indian Economic Policies at School of International and Public Affairs at Columbia University in New York City. He served as first vice-chairman of the government of India think-tank NITI Aayog between January 2015 and August 2017. He is a former Chief Economist of the Asian Development Bank. He was awarded the Padma Bhushan by the President of India in 2012 for his contributions in the field of economics and Public Policy. He is an authority on free trade and widely regarded as the foremost expert in the world on Indian economy.

Rakesh Mohan is an Indian economist and former Deputy Governor of Reserve Bank of India. He is the Vice Chairperson of Indian Institute for Human Settlements. He was appointed in November 2012 as an Executive Director of the IMF for a three-year term, and in April 2010, he joined Nestlé India, as a non-executive director.

<span class="mw-page-title-main">György Matolcsy</span> Hungarian politician and economist

György Matolcsy is a Hungarian politician and economist, current governor of the Hungarian National Bank (MNB). He also served as Minister of National Economy from 2000 to 2002 during the first cabinet of Viktor Orbán and from 2010 to 2013 in the Second Orbán Cabinet.

<span class="mw-page-title-main">Carlos A. Vegh</span> Uruguayan academic economist (born 1958)

Carlos A. Végh is a Uruguayan academic economist who, since 2013, is the Fred H. Sanderson Professor of International Economics at the Johns Hopkins School of Advanced International Studies (SAIS), and holds a joint appointment with Johns Hopkins' Department of Economics. He is also a research associate at the National Bureau of Economic Research since 1998. He was the World Bank Chief Economist for Latin America and the Caribbean from February 1, 2017 to June 30, 2019, while on leave from Johns Hopkins. He was previously a Professor of Economics and Vice-Chair of Undergraduate Studies at UCLA (1996-2005) and Professor of Economics at the University of Maryland (2005-2013). His research work on monetary and fiscal policy in emerging and developing countries has been highly influential in both academic and policy circles. In particular, his work on fiscal procyclicality in emerging markets has been instrumental in generating a copious literature on the subject, which has influenced the adoption of fiscal rules in many emerging markets.

Prakash Loungani is a macroeconomist known for his work on the difficulty of forecasting recessions, which has been featured in the Financial Times and The Guardian and on the BBC. He has nudged macroeconomists towards adopting the goal of “inclusive growth” through research on understanding and lowering unemployment ; documenting the impact of austerity on inequality ; and uncovering the role of unfettered capital mobility across national borders in lowering labor’s share of income. His early research focused on understanding the impacts of oil prices on the economy. He is an advisor and senior personnel manager in the International Monetary Fund's Independent Evaluation Office. He blogs as The Unassuming Economist.

<span class="mw-page-title-main">Muhammed Al-Jasser</span>

Muhammad Sulaiman Al Jasser is a Saudi economist who is currently the Chairman of the Islamic Development Bank (IsDB) Group former advisor at the General Secretariat of the Council of Ministers of Saudi Arabia and Chairman of the General Authority for Competition. He served as Minister of Economy and Planning between 2011 and 2015. He also previously served as Governor and Board Chairman of the Saudi Arabian Central Bank (SAMA) between 2009 and 2011. Prior to that, he served as Executive Director at the International Monetary Fund (IMF) between 1990 and 1995.

<span class="mw-page-title-main">Robert Holzmann</span> Austrian economist

Robert Holzmann is an Austrian economist and the current Governor of Austria’s central bank, the Oesterreichische Nationalbank (OeNB). His term of appointment runs from September 1, 2019, to August 31, 2025.

<span class="mw-page-title-main">Ilan Goldfajn</span>

Ilan Goldfajn is a Brazilian economist, former governor of the Central Bank of Brazil and former director of the International Monetary Fund's Western Hemisphere Department. In December 2022, he became president of the Inter-American Development Bank.

Huang Yiping (黄益平) is a professor of economics at the National School of Development at Peking University. He is a highly recognized expert of financial services in China.


  1. 1 2 Fisher, Stanley (1969). Essays on assets and contingent commodities (Ph.D.). MIT. hdl:1721.1/13873 . Retrieved 25 May 2017.
  2. Bodie, Zvi (1975). Hedging against inflation (Ph.D.). MIT . Retrieved 23 May 2017.
  3. Ahluwalia, Isher Judge (1976). A macro-econometric model of the Indian economy analyzing inflation during 1951-1973 (Ph.D.). MIT . Retrieved 30 May 2017.
  4. Mishkin, Frederic Stanley (1976). Illiquidity, the demand for consumer durables, and monetary policy (Ph.D.). MIT . Retrieved 24 May 2017.
  5. Sheffrin, Steven M. (1976). Rational expectations and employment fluctuations (Ph.D.). MIT . Retrieved 31 May 2017.
  6. Blanchard, Olivier (1977). Two essays on economic fluctuations (Ph.D.). MIT . Retrieved 1 February 2017.
  7. Bernanke, Ben (1979). Long-term commitments, dynamic optimization, and the business cycle (PDF) (PhD). Massachusetts Institute of Technology . Retrieved 23 October 2016.
  8. Hsieh, David Arthur (1981). Expectations and efficiencies in international markets (Ph.D.). MIT . Retrieved 27 May 2017.
  9. West, Kenneth D. (1983). Inventory models and backlog costs : an empirical investigation (PDF) (Ph.D.). MIT . Retrieved 16 March 2017.
  10. "A Profile of Stanley Fischer". GREG MANKIW'S BLOG. September 19, 2016.
  11. Miron, Jeffrey Alan (1984). The economics of seasonal time series (Ph.D.). MIT . Retrieved 27 May 2017.
  12. Bils, Mark (1985). Essays on the cyclical behavior of cost and price (Ph.D.). MIT . Retrieved 27 May 2017.
  13. Romer, David (1985). General equilibrium analysis of government financial policies (Ph.D.). MIT . Retrieved 24 May 2017.
  14. Caballero, Ricardo J. (1988). The Stochastic Behavior of Consumption and Savings (PDF) (Ph.D.). MIT . Retrieved 17 October 2016.
  15. "Michael Kuehlwein". The Mathematics Genealogy Project. Retrieved 27 August 2021.
  16. Sheets, D. Nathan (1993). Essays in intersectoral economics: exchange rates, public capital and productivity (Ph.D.). MIT. hdl:1721.1/12708 . Retrieved 27 May 2017.
  17. Goldfajn, Ilan (1995). On public debt and exchange rates (Ph.D.). MIT. hdl:1721.1/11082 . Retrieved 25 May 2017.
  18. Stanley Fischer firms as top choice to become US Fed vice, The Sydney Morning Herald, via Bloomberg News, December 12, 2013.
  19. Ewing, Jack (12 June 2011). "Bank of Israel Chief Enters Race to Lead I.M.F". The New York Times.
  20. senior/fischer
  21. "Stanley Fischer submits resignation as a member of the Board of Governors, effective on or around October 13, 2017". Board of Governors of the Federal Reserve System. Retrieved 2017-09-06.
  22. Stanley Fischer at the Mathematics Genealogy Project
  23. Stanley Fischer (1977) Long-Term Contracts, Rational Expectations, and the Optimal Money Supply Rule Journal of Political Economy.
  24. Binyamim Appelbaum (December 12, 2013) Young Stanley Fischer and the Keynesian Counterrevolution New York Times. Retrieved 15 December 2014
  25. Dylan Matthews (January 13, 2014) Stanley Fischer saved Israel from the Great Recession. Now Janet Yellen wants him to help save the U.S. Washington Post. Retrieved January 15, 2014
  26. Galbács, Peter (2015). The Theory of New Classical Macroeconomics. A Positive Critique. Contributions to Economics. Heidelberg/New York/Dordrecht/London: Springer. doi:10.1007/978-3-319-17578-2. ISBN   978-3-319-17578-2.
  27. "Good News". Greg Mankiw's Blog. 18 May 2011.
  28. "Humanitas Visiting Professorship in Economic Thought" Archived 2013-05-12 at the Wayback Machine , Institute for Strategic Thought, University of Oxford, 5–6 November 2012.
  29. "Stanley Fischer, Fed Nominee, Has Long History of Policy Leadership", New York Times, March 12, 2014.
  30. Mitnick, Joshua (13 June 2011). "Israel's Stanley Fischer Announces Bid to Head the IMF". Wall Street Journal. Retrieved 30 December 2012.
  31. Odenheimer, Alisa (12 June 2011). "Fischer's Age, Nationality Are Hurdles in Bid for IMF Post". Bloomberg News. Archived from the original on June 14, 2011. Retrieved 30 December 2012.
  32. Klein, Zeev (19 January 2005). "Bach c'tee approves Fischer". Globes . Retrieved 30 December 2012.
  33. Filut, Adrian (2 May 2010). "Stanley Fischer sworn in for second term". Globes. Retrieved 2 May 2010.
  34. Viniar, Olga (20 May 2010). "Israel's economy most durable in face of crises". Ynetnews. Retrieved 23 October 2010.
  35. Levy, Tal; Bassok, Moti (25 August 2009). "Israel central bank first in developed world to raise interest". Haaretz . Retrieved 23 October 2010.
  36. "World's Top Central Bankers 2009". Global Finance. 28 September 2010. Retrieved 23 October 2010.
  37. "Global Finance Magazine names the World's Top Central Bankers 2010". Global Finance. 9 September 2010. Retrieved 23 October 2010.
  38. Wroughton, Lesley (13 June 2011). "Lagarde, Carstens shortlisted for IMF race-officials". Reuters .
  39. "Stanley Fischer to step down as BOI chief". Ynetnews. Ynet News. 29 January 2013. Retrieved 30 January 2013.
  40. Dylan Matthews (15 February 2013). "Stan Fischer saved Israel's economy. Can he save America's?". Washington Post. Archived from the original on 16 February 2013.
  41. AP, Reuters. "Obama Nominates Former Bank of Israel Chief Stanley Fischer as Fed Vice Chairman". Ha'aretz. Retrieved 6 January 2018.{{cite news}}: |last1= has generic name (help)
  42. 1 2 Puzzanghera, Jim (June 12, 2014). "Senate confirms Brainard, Powell for Fed seats, Fischer as vice chair". The Los Angeles Times.
  43. Liesman, Steve (2017-12-21). "Larry Lindsey being considered for Fed vice chair job: Sources". CNBC. Retrieved 6 January 2018.
  44. Reuters (6 September 2017). "Stanley Fischer Quits No. 2 Post At Federal Reserve". Forward Magazine. Retrieved 6 January 2018.{{cite web}}: |last1= has generic name (help)
  45. "Stanley Fischer: The Israeli economy" (PDF). Retrieved 23 October 2010.
  46. "Central bank governor of the year 2010: Stanley Fischer's bold moves show the value of experience". Euromoney. October 2010.
  47. "Bilderberg 2011 list of participants". Archived from the original on August 28, 2011. Retrieved August 24, 2011.
  48. "Inter-American Dialogue | Experts". Retrieved 2017-04-11.
Diplomatic posts
Preceded by Chief Economist of the World Bank
Succeeded by
Preceded by
Richard D. Erb
First Deputy Managing Director of the International Monetary Fund
Succeeded by
Anne Osborn Krueger
Government offices
Preceded by Governor of the Bank of Israel
Succeeded by
Preceded by Member of the Federal Reserve Board of Governors
Succeeded by
Preceded by Vice Chair of the Federal Reserve
Succeeded by