Professor Gary T. Jones welcomed Dr. Raphael Bostic, president and chief executive officer of the Federal Reserve Bank of Atlanta, to his Management of Financial Institutions class at Georgia Tech’s Scheller College of Business on Thursday, August 29 for a discussion of the role of the Federal Reserve and its effects on today’s markets.
Dr. Bostic opened his remarks by encouraging students to seek challenging opportunities throughout their academic and professional careers. He cited several personal examples throughout his life that led to positions in government and higher education. Dr. Bostic explained the structure and responsibilities of the Federal Reserve System in monitoring and setting economic policy. He then discussed current market conditions in the United States and abroad.
“Today, we are experiencing zero or negative interest rates in many countries around the world, and cash is leaving those countries by way of investments in U.S. markets where overseas investors feel they can get at least some return,” Bostic said. “I don’t believe this is something we have experienced before…certainly not in my lifetime. As such, we are uncertain regarding the effects this might have on our economy going forward and will be monitoring this closely.”
Dr. Bostic took office as the 15th president and chief executive officer of the Federal Reserve Bank of Atlanta in June 2017. In addition, he serves on the Federal Reserve's chief monetary policy body, the Federal Open Market Committee. Dr. Bostic previously served as the Judith and John Bedrosian Chair in Governance and the Public Enterprise at the University of Southern California. Prior to joining USC, he was the former assistant secretary for policy development and research at the U.S. Department of Housing and Urban Development, and worked as a senior economist at the Federal Reserve Board of Governors.
Gary T. Jones is a retired managing director of Credit Suisse and has launched a new career as a professor of the practice in the Scheller College of Business at Georgia Tech, teaching a course for MBA candidates and upper classmen on Management of Financial Institutions. He currently serves as Chairman Emeritus of the Georgia Tech Foundation Board of Trustees. He has previously served as Vice Chair and Chair-elect and Treasurer as well as Chairman of the Finance Committee, the Investment Committee, and the Development Committee.