Alan Greenspan was the U.S. Federal Reserve chairman during the 1987 stock-market crash.
Greenspan became chairman on August 11, 1987, succeeding Paul Volcker. Black Monday followed only about two months later, on October 19. The timing made the crash one of the first major tests of his leadership at the Federal Reserve.
After the market fell, the Federal Reserve issued a statement reaffirming its readiness to serve as a source of liquidity. The central bank also encouraged banks to continue lending to securities firms. This response helped establish the modern idea that a central bank can act quickly to preserve financial-market functioning during a severe market shock.
Greenspan remained Federal Reserve chairman until 2006. He is sometimes associated primarily with later events, including the 1990s technology boom and the 2000s housing-market period, but his chairmanship began with the 1987 crash. Paul Volcker was his predecessor, while Ben Bernanke succeeded him.