Gary Stern became the eleventh president of the Federal Reserve Bank of Minneapolis on March 21, 1985, after three years as senior vice president and director of Research.
Stern was born in San Luis Obispo, California. He spent his youth in Milwaukee and earned a doctorate in economics from Rice University and a bachelor’s degree in economics from Washington University, St. Louis.
Stern had previous Federal Reserve experience, having spent seven years at the Federal Reserve Bank of New York, where his last assignment was as manager of the domestic research department. Between his Fed positions, Stern was a partner in a New York-based consulting firm. He also served on the faculties of Columbia University, Washington University and New York University.
During his tenure as Minneapolis Fed president, Stern was chairman of the Federal Reserve System’s Financial Services Policy Committee and oversaw substantial changes to the Federal Reserve’s role in the nation’s payments system as new technologies dictated greater efficiencies for financial institutions and consumers alike.
Stern took an active role in promoting awareness of the Minneapolis Fed through enhanced publications and dialogues with community leaders. He was also very supportive of the Bank’s economic education initiatives and involvement with the national Council for Economic Education.
Stern will likely be best remembered for his work on the “too-big-to-fail” issue, both for his recognition of the problem and for his advocacy for change. Along with Minneapolis Fed Senior Vice President Ron Feldman, Stern co-authored Too Big to Fail: The Hazards of Bank Bailouts, published by the Brookings Institution in 2004.
Stern retired Sept. 1, 2009, having been the longest-serving Minneapolis Fed president and the second-longest-serving regional president in Fed history. Stern serves on several boards of directors, and continues his long-time involvement with the National Council on Economic Education as a board member.
Written by the Federal Reserve Bank of Minneapolis. See disclaimer.