Paul Adolph Volcker (born September 5, 1927) is an American economist. He was the Chairman of the the Federal Reserve under United States America Presidents Jimmy Carter and Ronald Reagan. Since February 2009, he has been Chairman of the Economic Recovery Advisory Board under President Barack Obama. He has an experience economist at Federal Reserve Bank of New York, Chase Manhattan Bank. Treasury Department as director of financial analysis, and in 1963 he became deputy under-secretary for monetary affairs. He returned to Chase Manhattan Bank as vice president and director of planning in 1965. Mr. Volcker served as under-secretary of the Treasury for international monetary affairs in 1969.
The Bretton Woods system of monetary management established the rules for commercial and financial relations among the world’s major industrial states in the mid 20th century. The Bretton Woods system was the first example of a fully negotiated monetary order intended to govern monetary relations among independent nation-states in 1945. The chief features of the Bretton Woods system were an obligation for each country to adopt a monetary policy that maintained the exchange rate of its currency within a fixed value
He played an important role in the decisions leading to the U.S. suspension of gold convertibility in 1971, which resulted in the collapse of the Bretton Woods system.
Glass–Steagall Act Henry B. Steagall is legislative sponsors. The Banking Act of 1933 was a law that established the Federal Deposit Insurance Corporation (FDIC) in the United States and introduced banking reforms, some of which were designed to control speculation. Regulation Glass–Steagall law in banking and securities dealers to partition and crack down on risk operations to the Bank but was abolished in 1999.
Financial Crisis The repeal of the Glass–Steagall Act of 1933 effectively removed the separation that previously existed between Wall Street investment banks and depository banks and has been blamed by some for exacerbating the damage caused by the collapse of the subprime mortgage market that led to the Financial crisis of 2007–2010. Then Lehman shock caused financial insecurity for event rental or crunch. Government to regulate the bank capital to shareholders ‘ equity 8% without immediately stating that sales stop was also. To avoid financial crisis financial institution bankrupt too many 700 billion dollar tax was turned on tem.
Volcker Rule Afterwards, Obama President Volcker rule imposition past regulation once again revived stricter content changes. Every bank can buy securities or shares stocks in the capital’s within three percent only limited, And No more public funds will be use also suffered from bankruptcy of any Banks of any future was declared by Prs. Obama in united states USA America.