The 1980s Hero Who Saved the U.S. Economy From the 1970s
October may not be the cruelest month for investors -- based on the averages, that's September. But when Wall Street stumbles at this point of the year, it stumbles extra hard. And that's why Alison Southwick and Robert Brokamp picked October for a four-part series on the history of market crashes in the United States.
In this podcast, guest and Former Fool Morgan Housel leads the discussion as they reflect on two major economic tumbles: the long downturn of the 1970s and 1987's Black Monday. The 1970s in particular became a steaming pile of financial awful as the country was hit by a confluence of troubles. But the standout economic issue was double-digit inflation. To break the cycle, Fed Chairman Paul Volcker (who much later would have a "rule" named after him) took actions that at the time that might have seemed as painful as the conditions they were intended to solve.
A full transcript follows the video.
Source: Fool.com
