Quotes by Economists - Page 19

The entrepreneur who is reckoning in terms of a currency with a stable value is unable to compete with the entrepreneur who is prepared to make a quasi-gift of part of his capital to his customers. In 1920 and 1921, Dutch traders who had sold commodities to Austria could buy them back again after a while much cheaper than they had originally sold them, because the Austrian traders completely failed to see that they were selling them for less than they had cost.
Ludwig von Mises
If a man didn't make sense the Scotch felt it was misplaced politeness to try to keep him from knowing it. Better that he be aware of his reputation for this would encourage reticence which goes well with stupidity.
J. K. Galbraith
Many a man in love with a dimple makes a mistake of marrying the whole girl.
Stephen Leacock
ECONOMICS IS HAUNTED by more fallacies than any other study known to man. This is no accident. The inherent difficulties of the subject would be great enough in any case, but they are multiplied a thousandfold by a factor that is insignificant in, say, physics, mathematics or medicine—the special pleading of selfish interests.
Henry Hazlitt
The disdain of profit is due to ignorance, and to an attitude that we may if we wish admire in the ascetic who has chosen to be content with a small share of the riches of this world, but which, when actualised in the form of restrictions on profits of others, is selfish to the extent that it imposes asceticism, and indeed deprivations of all sorts, on others.
Friedrich A. Hayek
Speaking English well could open a window of personal and professional opportunities but having great knowledge of business English can give you the edge in becoming indispensable.
John Taskinsoy
A slave believes that the law should define the scope of liberty. A free person believes that liberty should define the scope of the law.
Jakub Bożydar Wiśniewski
My boys. I don't have them to hold. What do I do with my arms?
Sonali Deraniyagala
It is because every individual knows little and, in particular, because we rarely know which of us knows best best that we trust the independent and competitive efforts of many to induce the emergence of what we shall want when we see it.
Friedrich A. Hayek
The strongest competitive force or forces determine the profitability of an industry and become the most important to strategy formulation. The most salient force, however, is not always obvious. P. 26
Michael E. Porter
As regards the social apparatus of repression and coercion, the government, there cannot be any question of freedom. Government is essentially the negation of liberty. It is the recourse to violence or threat of violence in order to make all people obey the orders of the government, whether they like it or not. As far as the government’s jurisdiction extends, there is coercion, not freedom. Government is a necessary institution, the means to make the social system of cooperation work smoothly without being disturbed by violent acts on the part of gangsters whether of domestic or of foreign origin. Government is not, as some people like to say, a necessary evil; it is not an evil, but a means, the only means available to make peaceful human coexistence possible. But it is the opposite of liberty. It is beating, imprisoning, hanging. Whatever a government does it is ultimately supported by the actions of armed constables.
Ludwig von Mises
While liberals are in favor of any sexual activity engaged in by two consenting adults, when these consenting adults engage in trade or exchange, the liberals step in to harass, cripple, restrict, or prohibit that trade. And yet both the consenting sexual activity and the trade are similar expressions of liberty in action.
Murray N. Rothbard
Taxation is the price we pay for failing to build a civilized society. The higher the tax level, the greater the failure. A centrally planned totalitarian state represents a complete defeat for the civilized world, while a totally voluntary society represents its ultimate success.
Mark Skousen
Unorganized morality is called sociability. Organized morality is called civilization. Unorganized immorality is called barbarity. Organized immorality is called statism.
Jakub Bożydar Wiśniewski
If you owe your bank a hundred pounds, you have a problem. But if you owe a million, it has.
John Maynard Keynes
But even though questions of currency policy are never more than questions of the value of money, they are sometimes disguised so that their true nature is hidden from the uninitiated. Public opinion is dominated by erroneous views on the nature of money and its value, and misunderstood slogans have to take the place of clear and precise ideas. The fine and complicated mechanism of the money and credit system is wrapped in obscurity, the proceedings on the Stock Exchange are a mystery, the function and significance of the banks elude interpretation. So it is not surprising that the arguments brought forward in the conflict of the different interests often missed the point altogether. Counsel was darkened with cryptic phrases whose meaning was probably hidden even from those who uttered them. Americans spoke of 'the dollar of our fathers' and Austrians of 'our dear old gulden note'; silver, the money of the common man, was set up against gold, the money of the aristocracy. Many a tribune of the people, in many a passionate discourse, sounded the loud praises of silver, which, hidden in deep mines, lay awaiting the time when it should come forth into the light of day to ransom miserable humanity, languishing in its wretchedness.
Ludwig von Mises
Nothing fails like success because we don't learn from it. We learn only from failure.
Kenneth Boulding
It takes abstract thinking to see how greed can lead to prosperity, but it takes wishful thinking to claim that violence can lead to charity.
Jakub Bożydar Wiśniewski
Dawes observed that the complex statistical algorithm adds little or no value. One can do just as well by selecting a set of scores that have some validity for predicting the outcome and adjusting the values to make them comparable (by using standard scores or ranks). A formula that combines these predictors with equal weights is likely to be just as accurate in predicting new cases as the multiple-regression formula that was optimal in the original sample. More recent research went further: formulas that assign equal weights to all the predictors are often superior, because they are not affected by accidents of sampling.
Daniel Kahneman
There must be some atom of our life hidden here, lingering in this quiet somewhere.
Sonali Deraniyagala
It is illogical to say, as many etatists do, that liberalism is hostile to or hates the state, because it is opposed to the transfer of the ownership of railroads or cotton mills to the state. If a man says that sulphuric acid does not make a good hand lotion, he is not expressing hostility to sulphuric acid as such; he is simply giving his opinion concerning the limitations of its use.
Ludwig von Mises
In a democracy the people choose a leader in whom they trust. Then the chosen leader says, 'Now shut up and obey me.' People and party are then no longer free to interfere in his business.
Max Weber
All varieties of the producers' policy are advocated on the ground of their alleged ability to raise the party members' standard of living. Protectionism and economic self-sufficiency, labor union pressure and compulsion, labor legislation, minimum wage rates, public spending, credit expansion, subsidies, and other makeshifts are always recommended by their advocates as the most suitable or the only means to increase the real income of the people for whose votes they canvass. Every contemporary statesman or politician invariably tells his voters: My program will make you as affluent as conditions may permit, while my adversaries' program will bring you want and misery.
Ludwig von Mises
Self-analysis is vital in the road to success; being unaware of your own skills, capacity, and attributes may cost you the next great promotion.
John Taskinsoy
All business sagacity reduces itself in the last analysis to a judicious use of sabotage.
Thorstein Veblen
The system we have built refuses to recognize people. Only credit cards are recognized. Drivers' licenses are recognized. But not people. People haven't any use for faces anymore, it seems. They are busy looking at your credit card, your driver's licence, your social security number. If a driver's licence is more reliable than the face I wear, then why do I have a face?
Muhammad Yunus
An attitude to life which seeks fulfilment in thesingle-minded pursuit of wealth - in short, materialism - does not fit into thisworld, because it contains within itself no limiting principle, while theenvironment in which it is placed is strictly limited.
Ernst F. Schumacher
Measurement aside, there are two reasons aggregate growth might matter. The first is to create jobs to assimilate the unemployed and anticipate increases in population. The second is to improve living standards. Economic logic does not require overall expansion to achieve either of these objectives. An expanding labour force can be accommodated if hours of work fall. And it's productivity growth, rather than the overall size of the economy, that drives improvements in living standards. Getting bigger doesn't necessarily yield wealth; improving productivity does.
Juliet Schor
I have always preferred the contemplative to the active life. I prefer the freedom to see matters from several viewpoints, to appreciate ironies, and indeed to change my opinion as I learn something new. To be politically active means to surrender this freedom. I say nothing against activism for others. It is only through the committed that necessary changes come. But each to his own path. [A Cautious Case for Socialism, Dissent Magazine, 1978]
Kenneth J Arrow
Even if index numbers cannot fulfill the demands that theory has to make, they can still, in spite of their fundamental shortcomings and the inexactness of the methods by which they are actually determined, perform useful workaday services for the politician. If we have no other aim in view than the comparison of points of time that lie close to one another, then the errors that are involved in every method of calculating numbers may be so far ignored as to allow us to draw certain rough conclusions from them. Thus, for example, it becomes possible to a certain extent to span the temporal gap that lies, in a period of variation in the value of money, between movements of Stock Exchange rates and movements of the purchasing power that is expressed in the prices of commodities.
Ludwig von Mises
There is only one social responsibility of business - to use its resources and engage in activities designed to increase its profits without deception or fraud.
Milton Friedman
The law-abiding citizen by his labor serves both himself and his fellow man and thereby integrates himself peacefully into the social order. The robber, on the other hand, is intent, not on honest toil, but on the forcible appropriation of the fruits of others' labor.
Ludwig von Mises
Clearly, only very unequal intellectual and moral standing could justify having equality imposed, whether the people want it or not, as Dworkin suggests, and only very unequal power would make it possible.
Thomas Sowell
Nothing is easier to achieve than full employment, once it is divorced from the goal of full production and taken as an end in itself
Henry Hazlitt
Academics place much more importance on rigorous logic. There is also admiration in the profession for subtle reasoning. And mastery of the craft shows itself in the elegance of the intellectual super-structure…. The practitioner, on the other hand, uses economic theory only to the extent that he finds it useful in comprehending the problem at hand, so that practical courses of action will emerge which can be evaluated not merely in narrow economic cost-benefit terms, but by taking into account a wider range of considerations…. A practitioner is not judged by the rigour of his logic or by the elegance of his presentation. He is judged by results.
Goh Keng Swee
The more of himself man attributes to God the less he has left in himself.
Karl Marx
The jurist is totally unacquainted with the problem of the value of money; he knows nothing of fluctuations in its exchange-value. The naive popular belief in the stability of the value of money has been admitted, with all its obscurity, into the law, and no great historical cause of large and sudden variations in the value of money has ever provided.
Ludwig von Mises
History is not like some individual person, which uses men to achieve its ends. History is nothing but the actions of men in pursuit of their ends.
Karl Marx
Arnold Harberger, Milton Friedman & Co. Inc., your modest proposal of partial equilibrium for the general good is not without its own internal contradictions. Moreover, you cannot take complete credit for this program of equilibriation. Although you and your colleagues and disciples at the Department of Economics of the University of Chicago may have dedicated two decades to the design of the program and the technical training of its executors, it took the approach of another major economic and political crisis of capitalism, analogous to that of the 1930's, to mobilize the political support and the military force to instal a government prepared to put your program of equilibration and your equilibrating experts to work in Chile - and you, Milton Friedman, are still waiting to put your part of the same program, complete with Brazilian style indexing, into practice at home for the glory and benefit of the bourgeoisie in the USA, whom you so faithfully serve as paid executors and executioners.
André Gunder Frank
In economics, things take longer to happen than you think they will, and then they happen faster than you thought they could.
Rudiger Dornbusch
Common man does not speculate about the great problems. With regard to them he relies upon other people's authority, he behaves as "every decent fellow must behave,'' he is like a sheep in the herd. It is precisely this intellectual inertia that characterizes a man as a common man. Yet the common man does choose. He chooses to adopt traditional patterns or patterns adopted by other people because he is convinced that this procedure is best fitted to achieve his own welfare. And he is ready to change his ideology and consequently his mode of action whenever he becomes convinced that this would better serve his own interests.
Ludwig von Mises
It is certain that there can be no work in political economy on any other than an altruistic basis... If our work is to retain any meaning it can only be informed by this: concern for the future, for those who will come after us.
Max Weber
However, attention can be moved away from an unwanted focus, primarily by focusing intently on another target.
Daniel Kahneman
Alterations in real prices occur slowly as a rule. But this stability of prices has its cause in the stability of the price-determinants, not in the Law of Price-determination itself. Prices change slowly because the subjective valuations of human beings change slowly. Human needs, and human opinions as to the suitability of goods for satisfying those needs, are no more liable to frequent and sudden changes than are the stocks of goods available for consumption, or the manner of their social distribution;
Ludwig von Mises
Science is the great antidote to the poison of enthusiasm and superstition.
Adam Smith
A highway, a bridge, a navigable canal, for example, may in most cases be both made and maintained by a small toll upon the carriages which make use of them: a harbour, by moderate port-duty upon the tonnage of the shipping which load or unload in it. The coinage, another institution for facilitating commerce, in many countries, not only defrays its own expense, but affords a small revenue or seignorage to the sovereign. The post-office, another institution for the same purpose, over and above defraying its own expense, affords in almost all countries a very considerable revenue to the sovereign. When the carriages which pass over a highway or a bridge, and the lighters which sail upon a navigable canal, pay toll in proportion to their weight or their tonnage, they pay for the maintenance of those public works exactly in proportion to the wear and tear which they occasion of them. It seems scarce possible to invent a more equitable way of maintaining such works.
Adam Smith
To think that because those who wield power in society wield in the end that of government, therefore it is of no use to attempt to influence the constitution of the government by acting on opinion, is to forget that opinion is itself one of the greatest active social forces. One person with a belief is a social power equal to ninety-nine who have only interests.
John Stuart Mill
No society can work unless its members feel responsibilities as well as rights.
Richard Layard
One gratifying aspect of our rise to some prominence is that, for the first time in my memory, we, ‘our side,’ had captured a crucial word from the enemy . . . ‘Libertarians’ . . . had long been simply a polite word for left-wing anarchists, that is for anti-private property anarchists, either of the communist or syndicalist variety. But now we had taken it over...
Murray N. Rothbard
More dangerous than bayonets and cannon are the weapons of the mind.
Ludwig von Mises
Nothing is easier than to find some individuals—in any group—who share a given writer’s opinion, and to quote such individuals as if their views were typical.
Thomas Sowell
Souvenez-vous toujours que dans la vie, la passion sans vision est une perte d’énergie, et que la vision sans passion est une impasse.
Jo M. Sekimonyo
religion, the most powerful of the elements which have entered into the formation of moral feeling, having almost always been governed either by the ambition of a hierarchy, seeking control over every department of human conduct, or by the spirit of Puritanism.
John Stuart Mill
Now, it’s true that some of the protesters are oddly dressed or have silly-sounding slogans, which is inevitable given the open character of the events. But so what? I, at least, am a lot more offended by the sight of exquisitely tailored plutocrats, who owe their continued wealth to government guarantees, whining that President Obama has said mean things about them than I am by the sight of ragtag young people denouncing consumerism.
Paul Krugman
Democracy is not merely a form of Government. It is primarily a mode of associated living, of conjoint communicated experience. It is essentially an attitude of respect and reverence towards our fellow men.
B.R. Ambedkar
The long run is a misleading guide to current affairs. In the long run we are all dead.
John Maynard Keynes
Experience cannot beat logic, and interpretations of observational evidence which are not in line with the laws of logical reasoning are no refutation of these but the sign of a muddled mind (or would one accept someone’s observational report that he had seen a bird that was red and non-red all over at the same time as a refutation of the law of contradiction rather than the pronouncement of an idiot?).
Hans-Hermann Hoppe
It might be worthwhile to take a familiar question—why is there so much crime in modern society?—and stand it on its head: why isn't there a bit more crime?After all, every one of us regularly passes up opportunities to main, steal, and defraud. The chance of going to jail—thereby losing your job, your house, and your freedom, all of which are essentially economic penalties—is certainly a strong incentive. But when it comes to crime people also respond to moral incentives (they don't want to do something they consider wrong) and social incentives (they don't want to be seen by others as doing something wrong).
Steven D. Levitt
Once you admit that the individual is merely a means to serve the ends of the higher entity called society or the nation, most of those features of totalitarian regimes which horrify us follow of necessity. From the collectivist standpoint intolerance and brutal suppression of dissent, the complete disregard of the life and happiness of the individual, are essential and unavoidable consequences of this basic premise, and the collectivist can admit this and at the same time claim that his system is superior to one in which the "selfish" interests of the individual are allowed to obstruct the full realisation of the ends the community pursues.
Friedrich A. Hayek
In a basic agricultural society, it's easy enough to swap five chickens for a new dress or to pay a schoolteacher with a goat and three sacks of rice. Barter works less well in a more advanced economy. The logistical challenges of using chickens to buy books on Amazon.com would be formidable.
Charles Wheelan