What is Franco Modigliani known for in economics?

I am primarily known for two major contributions: the Modigliani-Miller theorem, which profoundly altered our understanding of corporate finance by demonstrating that a firm's value is independent of its capital structure under certain idealized conditions, and the life-cycle hypothesis of saving. This latter theory posits that individuals plan their consumption and saving behavior over their entire lifetimes, aiming to smooth consumption across periods of varying income.

More questions about Franco Modigliani

• What is the life-cycle hypothesis of saving?
• Why did Modigliani focus on intertemporal choice?
• Was Modigliani's irrelevance theorem always accepted?
• How does Modigliani's work relate to consumer spending?