Eugene Robert Black I (January 7, 1873 – December 19, 1934) was an American attorney and businessman who served as the 6th
chairman of the Federal Reserve
The chair of the Board of Governors of the Federal Reserve System is the head of the Federal Reserve, and is the active executive officer of the Board of Governors of the Federal Reserve System. The chair shall preside at the meetings of the Boa ...
from 1933 to 1934. Before and after his term as chairman, Black also served as the governor of the
Federal Reserve Bank of Atlanta
The Federal Reserve Bank of Atlanta, (informally referred to as the Atlanta Fed and the Bank), is the sixth district of the 12 Federal Reserve Banks of the United States and is headquartered in midtown Atlanta, Georgia.
The Atlanta Fed cover ...
from 1928 to 1933 and again from August 1934 until his death in December of that year.
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]
Early life
He was born in Atlanta, Georgia
Atlanta ( ) is the capital and most populous city of the U.S. state of Georgia. It is the seat of Fulton County, the most populous county in Georgia, but its territory falls in both Fulton and DeKalb counties. With a population of 498,7 ...
on January 7, 1873. He attended the University of Georgia
, mottoeng = "To teach, to serve, and to inquire into the nature of things.""To serve" was later added to the motto without changing the seal; the Latin motto directly translates as "To teach and to inquire into the nature of things."
, establ ...
, where he was a member of the Chi Phi Fraternity and the Phi Kappa Literary Society
The Phi Kappa Literary Society is a college literary society, located at the University of Georgia in Athens, Georgia, and is one of the few active literary societies left in America. Founded in 1820, the society continues to meet every academic ...
. Black practiced law for 28 years until he became president of the Atlanta Trust Company in 1921.
Career
In 1928, he became Governor of the Federal Reserve Bank of Atlanta
The Federal Reserve Bank of Atlanta, (informally referred to as the Atlanta Fed and the Bank), is the sixth district of the 12 Federal Reserve Banks of the United States and is headquartered in midtown Atlanta, Georgia.
The Atlanta Fed cover ...
. He succeeded the longtime governor, Max Wellborn, who was also his daughter's father-in-law. When the Wall Street Crash of 1929
The Wall Street Crash of 1929, also known as the Great Crash, was a major American stock market crash that occurred in the autumn of 1929. It started in September and ended late in October, when share prices on the New York Stock Exchange coll ...
happened, he and two cashiers rushed to Nashville, Tennessee
Nashville is the capital city of the U.S. state of Tennessee and the seat of Davidson County. With a population of 689,447 at the 2020 U.S. census, Nashville is the most populous city in the state, 21st most-populous city in the U.S., and ...
to supply currency and credit to banks in the city and surrounding region. The situation worsened with other cities in the region experiencing bank runs.
Black kept his district afloat by rushing large quantities of cash to banks that were experiencing runs and extending credit to any bank that could offer any asset of value. He kept this policy active through the Great Depression into 1933. He, along with George L. Harrison, the Governor of the Federal Reserve Bank of New York, recommended open market
The term open market is used generally to refer to an economic situation close to free trade. In a more specific, technical sense, the term refers to interbank trade in securities.
In economic theory
Economists judge the "openness" of markets ...
purchases to increase reserves. His insistence on expansionist policies led to the President appointing Black as chairman of the Federal Reserve Board
The Board of Governors of the Federal Reserve System, commonly known as the Federal Reserve Board, is the main governing body of the Federal Reserve System. It is charged with overseeing the Federal Reserve Banks and with helping implement the m ...
in 1933.
Personal life
In 1897, he married Gussie Grady, the daughter of Henry W. Grady, the Atlanta journalist and orator.[ Eugene "Gene" Robert Black, Sr., was the first in the family to use the "Sr." designation; his son was known as Eugene Robert Black, Jr. or Eugene Robert Black III.] Black died of a heart attack
A myocardial infarction (MI), commonly known as a heart attack, occurs when blood flow decreases or stops to the coronary artery of the heart, causing damage to the heart muscle. The most common symptom is chest pain or discomfort which ma ...
on December 19, 1934 in Atlanta, Georgia
Atlanta ( ) is the capital and most populous city of the U.S. state of Georgia. It is the seat of Fulton County, the most populous county in Georgia, but its territory falls in both Fulton and DeKalb counties. With a population of 498,7 ...
.
References
Further reading
*
External links
Statements and Speeches of Eugene R. Black
{{DEFAULTSORT:Black, Eugene
1873 births
1934 deaths
Economists from Georgia (U.S. state)
Businesspeople from Atlanta
Chairs of the Federal Reserve
University of Georgia alumni
Franklin D. Roosevelt administration personnel
Federal Reserve Bank of Atlanta presidents