It is with sadness that Center for Financial Stability (CFS) mourns the passing of internationally renowned economist and Carnegie Mellon Professor Allan Meltzer. Author of more than 10 books and 400 papers, he was one of the leading experts on the Federal Reserve.
Allan was a brilliant economist with contributions of historic importance. He moved through life with the highest level of integrity and tenacity. Allan was an economic intellectual with a remarkable ability to get along with economists having diverse views. He and Karl Brunner were the founders of the Shadow Open Market Committee, which often disagreed with Federal Reserve policy. Nevertheless, Allan was greatly liked at the Fed and was regularly invited to serve on the semiannual Panel of Academic Advisers, who met in the Board Room with the Governors. The Federal Reserve’s initial decision to start providing monetary aggregates to the public long ago was based upon advocacy by Allan at the St. Louis Federal Reserve Bank.
Over decades, he influenced many CFS experts, colleagues, and friends. Since the launch of CFS, Allan often took the time to voluntarily provide feedback or be involved in issues stretching from the Bretton Woods institutions, bank capital, Fed policy, to CFS Divisia monetary measures. Allan was very familiar with the CFS Divisia monetary aggregates. Soon after CFS Director William A. Barnett originated the Divisia money aggregates and presented his research in Tokyo, Allan served as a consultant to the Bank of Japan to produce and maintain Divisia monetary measures for Japan.