Keynes Quotes

When my information changes, I alter my conclusions. What do you do, sir?

It is better to be roughly right than precisely wrong.

If you owe your bank a hundred pounds, you have a problem. But if you owe a million, it has.

Capitalism is the astounding belief that the most wickedest of men will do the most wickedest of things for the greatest good of everyone.

The ideas of economists and political philosophers, both when they are right and when they are wrong are more powerful than is commonly understood. Indeed, the world is ruled by little else. Practical men, who believe themselves to be quite exempt from any intellectual influences, are usually slaves of some defunct economist.

Note for Americans and other aliens: Milton Keynes is a new city approximately halfway between London and Birmingham. It was built to be modern, efficient, healthy, and, all in all, a pleasant place to live. Many Britons find this amusing.

Practical men who believe themselves to be quite exempt from any intellectual influence, are usually the slaves of some defunct economist. Madmen in authority, who hear voices in the air, are distilling their frenzy from some academic scribbler of a few years back

When the facts change, I change my mind - what do you do, sir?

The political problem of mankind is to combine three things: economic efficiency, social justice and individual liberty.

Markets can remain irrational longer than you can remain solvent.

Words ought to be a little wild for they are the assault of thoughts on the unthinking.

The difficulty lies not so much in developing new ideas as in escaping from old ones.

My day passes between logic, whistling, going for walks, and being depressed. I wish to God that I were more intelligent and everything would finally become clear to me - or else that I needn’t live much longer.

Socialism is not a competition; it is not a monopoly, either. Socialism is not a private property; it is not a state one, either. Socialism is a completely different thing. What is socialism in such case?

Neither claimed any responsibility for Milton Keynes, but both reported it as a success.

When the final result is expected to be a compromise, it is often prudent to start from an extreme position.

Worldly wisdom teaches that it is better for reputation to fail conventionally than to succeed unconventionally.

Ideas shape the course of history.

But my lord, when we addressed this issue a few years ago, didn't you argue the other side?" He said, "That's true, but when I get more evidence I sometimes change my mind. What do you do?

The avoidance of taxes is the only intellectual pursuit that carries any reward.

In the long run, we are all dead!

When the capital development of a country becomes a by-product of the activities of a casino, the job is likely to be ill-done

The master-economist must possess a rare combination of gifts .... He must be mathematician, historian, statesman, philosopher—in some degree. He must understand symbols and speak in words. He must contemplate the particular, in terms of the general, and touch abstract and concrete in the same flight of thought. He must study the present in the light of the past for the purposes of the future. No part of man's nature or his institutions must be entirely outside his regard. He must be purposeful and disinterested in a simultaneous mood, as aloof and incorruptible as an artist, yet sometimes as near to earth as a politician.

There is one good thing about Marx: he was not a Keynesian

By this means the government may secretly and unobserved, confiscate the wealth of the people, and not one man in a million will detect the theft.

Capitalism is the extraordinary belief that the nastiest of men for the nastiest of motives will somehow work together for the benefit of all.

Too large a proportion of recent "mathematical" economics are mere concoctions, as imprecise as the initial assumptions they rest on, which allow the author to lose sight of the complexities and interdependencies of the real world in a maze of pretentious and unhelpful symbols.

The businessman is only tolerable so long as his gains can be held to bear some relation to what, roughly and in some sense, his activities have contributed to society.

A study of the history of opinion is a necessary preliminary to the emancipation of the mind.

Churchill sent Keynes a cable reading, ‘Am coming around to your point of view.’ His Lordship replied, ‘Sorry to hear it. Have started to change my mind.’ ”7

The so-called “socialism” exceeded the mangiest recommendations of Keynes! Such a regulated state capitalism, such an intervention of the state in the economy like “socialism” does, Keynes had not even dreamed possible! The exceptional assistance of the state for the monopolies and their coalescence in a constitution—still after the receipt of Keynes! There is no better application of Keynes’s doctrine than the “socialism” of the twentieth century! Keynesian doctrine is an ideology of étatism, which strangely, was proclaimed as an essence of socialism! Keynes—the ideologist of the national debt, of the chronic budgetary deficit, and the inflation! His idea is the militarization of the economy, increasing workmen’s taxes, regulation of incomes through a “moderate inflation” in favor of the rich and the “solution” of the economic crises by regulation of the money circulation. All that was so well carried and applied in the “socialist” system that Keynes himself would have to wonder and to be proud of his “communist” disciples! Actually, Keynes, by observing the Soviet Union, had understood well the role of the state and the monopoly of the capital and sincerely recognized, by contrast with Stalin and the others after him, that they were used in a wonderful manner for the confirmation and for the perpetuation of the sovereignty of capitalism but not for its abolition. His “planned capitalism” is the same “planned socialism” of the twentieth century!

How long will it be necessary to pay City men so entirely out of proportion to what other servants of society commonly receive for performing social services not less useful or difficult?

This is what Keynes had meant when he warned of the dangers of economic chaos—you never know what combination of rage, racism and revolution will be unleashed.

Newton was not the first of the age of reason. He was the last of the magicians, the last of the Babylonians and Sumerians, the last great mind that looked out on the visible and intellectual world with the same eyes as those who began to build our intellectual inheritance rather less than 10,000 years ago.

When somebody persuades me I am wrong, I change my mind.

[People] will do the rational thing, but only after exploring all other alternatives.

If only one person were perfectly informed there could never be a general crisis. But the only perfectly informed person is God, and he does not play the stock market.

Well, God has arrived. I met him on the 5.15 train ~ Keynes

In the long run we are all dead. Economists set themselves too easy, too useless a task if in tempestuous seasons they can only tell us that when the storm is long past the ocean is flat again.

I’m heartened by our dissatisfaction, because dissatisfaction is a world away from indifference. The widespread nostalgia, the yearning for a past that never really was, suggests that we still have ideals, even if we have buried them alive. True progress begins with something no knowledge economy can produce: wisdom about what it means to live well. We have to do what great thinkers like John Stuart Mill, Bertrand Russell, and John Maynard Keynes were already advocating 100 years ago: to “value ends above means and prefer the good to the useful.

The fact that a thesis is flawed does not mean that we should not invest in it as long as other people believe in it and there is a large group of people left to be convinced. The point was made by John Maynard Keynes when he compared the stock market to a beauty contest where the winner is not the most beautiful contestant but the one whom the greatest number of people consider beautiful. Where I have something significant to add is in pointing out that it pays to look for the flaws; if we find them, we are ahead of the game because we can limit our losses when the market also discovers what we already know. It is when we are unaware of what could go wrong that we have to worry.

In the long run we are all dead.

The decadent international but individualistic capitalism in the hands of which we found ourselves after the war is not a success. It is not intelligent. It is not beautiful. It is not just. It is not virtuous. And it doesn't deliver the goods.

..either immediately or ultimately every dollar of government spending must be raised through a dollar of taxation. Once we look at the matter. In this way, the supposed miracles of government spending will appear in another light.

Of course, coaches are Humans. They tend to do things the way they have always been done, because those decisions will not be second-guessed by the boss. As Keynes noted, following the conventional wisdom keeps you from getting fired.

John Maynard Keynes, wrote the following: “The love of money as a possession … will be recognized for what it is, a somewhat disgusting morbidity, one of those semi-criminal, semi-pathological propensities which one hands over with a shudder to the specialists in mental disease.

The ideas which are here expressed so laboriously are extremely simple and should be obvious. The difficulty lies, not in the new ideas, but in escaping from the old ones, which ramify, for those brought up as most of us have been, into every corner of our minds.

Words ought to be a little wild, for they are the assault of thoughts on the unthinking.

The General Theory was not truly revolutionary at all but merely old and oft-refuted mercantilist and inflationist fallacies dressed up in shiny new garb, replete with newly constructed and largely incomprehensible jargon.

So it is not an accident that the Nazi lads vent a particular fury against (Einstein). He does truly stand for what they most dislike, the opposite of the blond beast intellectualist, individualist, supernationalist, pacifist, inky, plump... How should they know the glory of the free-ranging intellect and soft objective sympathy to whom money and violence, drink and blood and pomp, mean absolutely nothing?

I would rather be vaguely right than precisely wrong.

Since at least the Great Depression, we’ve been hearing warnings that automation was or was about to be throwing millions out of work—Keynes at the time coined the term “technological unemployment,” and many assumed the mass unemployment of the 1930s was just a sign of things to come—and while this might make it seem such claims have always been somewhat alarmist, what this book suggests is that the opposite was the case. They were entirely accurate. Automation did, in fact, lead to mass unemployment. We have simply stopped the gap by adding dummy jobs that are effectively made up. A combination of political pressure from both right and left, a deeply held popular feeling that paid employment alone can make one a full moral person, and finally, a fear on the part of the upper classes, already noted by George Orwell in 1933, of what the laboring masses might get up to if they had too much leisure on their hands, has ensured that whatever the underlying reality, when it comes to official unemployment figures in wealthy countries, the needle should never jump too far from the range of 3 to 8 percent. But if one eliminates bullshit jobs from the picture, and the real jobs that only exist to support them, one could say that the catastrophe predicted in the 1930s really did happen. Upward of 50 percent to 60 percent of the population has, in fact, been thrown out of work.

The appeal to the intellectually insecure is also more important than it might seem. Because economics touches so much of life, everyone wants to have an opinion. Yet the kind of economics covered in the textbooks is a technical subject that many people find hard to follow. How reassuring, then, to be told that it is all irrelevant -- that all you really need to know are a few simple ideas! Quite a few supply-siders have created for themselves a wonderful alternative intellectual history in which John Maynard Keynes was a fraud, Paul Samuelson and even Milton Friedman are fools, and the true line of deep economic thought runs from Adam Smith through obscure turn-of-the-century Austrians straight to them.

It meant that Crowley had been allowed to develop Manchester, while Aziraphale had a free hand in the whole of Shropshire. Crowley took Glasgow, Aziraphale had Edinburgh (neither claimed any responsibility for Milton Keynes,* but both reported it as a success).

Ravelstein mentioned that Keynes had married a Russian ballerina. He also explained to me that Uranus had fathered Aphrodite but that she had had no mother. She was conceived by the sea foam. He would say such things not because he thought I was ignorant of them but because he judged that I needed at a given moment to have my thoughts directed toward them.

Keynes was a great economist. In every discipline, progress comes from people who make hypotheses, most of which turn out to be wrong, but all of which ultimately point to the right answer. Now Keynes, in The General Theory of Employment, Interest and Money,set forth a hypothesis which was a beautiful one, and it really altered the shape of economics. But it turned out that it was a wrong hypothesis. That doesn't mean that he wasn't a great man!

When the facts change, I change my mind. What do you do, sir?

The difficulty lies, not in the new ideas, but in escaping from the old ones, which ramify, for those brought up as most of us have been, into every corner of our minds.

deep inside me there's a perpetual seething, like the bottom of a geyser, and I keep hoping that things will come to an eruption once and for all, so that I can turn into a different person.

There’s a famous and often-told story about the great economist John Maynard Keynes: once, when accused of having flip-flopped on some policy issue, Keynes acerbically replied, “When the facts change, sir, I change my mind. What do you do?

In the conditions of this “New World Order,” a crucial part of the contemporary world economy is a criminal economy, in which the excess profits are accumulated not by the production of material comforts, but by drug-traffic, arms trafficking, and human trafficking, including prostitution. The contemporary world economy is an economy of the global organized criminality whose eminently form is the modern capitalist state. The contemporary world economy is an economy not of the real commodity production, but an economy of the jobbery; this is expressed directly in supply and demand of the capital of the speculation, i.e., in the fictitious capital trade, in the antagonistic games with share capital in the stock exchange. Just Wall Street’s stock exchange, i.e., the world speculative capital market, is the contemporary tremendous pump for inflation of the balloons of the world economic crises, the last one of which began in 2007. The aggregate amount of the bonds on the world market, as many economists know, is over one hundred trillion US dollars! Without taking in mind the derivatives! If including those, the aggregate amount is several times more! This is an enormous balloon as inflated as a red giant star! And when added to this amount the world market of the shares, the passing each other between real and fictitious capital grows to cosmic dimensions! This cosmic balloon will burst very soon! That means the most destructive capitalist crisis in human history lies just round the corner, the global economic apocalypse is just forthcoming! This ruin will be due to the stock exchange antagonistic games, the stock exchange that is, as a matter of fact, a gambling house! Because the securities and shares’ trading is sheer gambling! This becomes clear by the direct proportionality between risk and profitability, the more risk—the more profitability, and vice versa! However, this is gambling in which the stakes are not simply money, but millions and billions of human fates. So, this is a destroying-the-civilization-world crime economy!

The power to become habituated to his surroundings is a marked characteristic of mankind.

The difficulty lies not so much in developing new ideas as in escaping the old ones.

Men will not always die quietly.

If human nature felt no temptation to take a chance, no satisfaction (profit apart) in constructing a factory, a railway, a mine or a farm, there might not be much investment merely as a result of cold calculation.

Spend a few hours every week studying American history, human nature, and economic theory. Start with “Economics in One Lesson.” Then try Keynes. Then Hayek. Then Marx. Then Hegel. Develop a worldview that you can articulate as well as defend. Test your theory with people who disagree with you. Debate. Argue. Adjust your philosophy as necessary.

When the accumulation of wealth is no longer of high social importance, there will be great changes in the code of morals. We shall be able to rid ourselves of many of the pseudo-moral principles which have hag-ridden us for two hundred years, by which we have exalted some of the most distasteful of human qualities into the position of the highest virtues. We shall be able to afford to dare to assess the money-motive at its true value. The love of money as a possession — as distinguished from the love of money as a means to the enjoyments and realities of life — will be recognized for what it is, a somewhat disgusting morbidity, one of those semi-criminal, semi-pathological propensities which one hands over with a shudder to the specialists in mental disease.

Asked whether history had ever seen anything like the Depression, John Maynard Keynes replied: “Yes. It was called the Dark Ages, and it lasted four hundred years.

How can I accept the Communist doctrine, which sets up as its bible, above and beyond criticism, an obsolete textbook which I know not only to be scientifically erroneous but without interest or application to the modern world? How can I adopt a creed which, preferring the mud to the fish, exalts the boorish proletariat above the bourgeoisie and the intelligentsia, who with all their faults, are the quality of life and surely carry the seeds of all human achievement? Even if we need a religion, how can we find it in the turbid rubbish of the red bookshop? It is hard for an educated, decent, intelligent son of Western Europe to find his ideals here, unless he has first suffered some strange and horrid process of conversion which has changed all his values.

Keynes declared capitalism the best system ever devised to achieve a civilized economic society. But he recognized in it two major faults—“its failure to provide for full employment and its arbitrary and inequitable distribution of wealth and incomes.

This book (Jarod Kintz's book) is trash. I mean, I assume it is, because that's where I found it while scrounging for lunch. However, I must admit that I haven't read it. I would have, but I am homeless, mainly due to my illiteracy (though Big Government, Keynesian monetary policy, and my struggle with alcoholism certainly played a large role).

The scary thing is that the more open our markets get, the faster people can move their money around and the more trading is based on this kind of speculation instead of serious analysis. And that’s scary because—recall—the whole point of the stock market is to decide the crucial question of what we, as a society, should build for the future. As Keynes says, “When the capital development of a country becomes a by-product of the activities of a casino, the job is likely to be ill-done.

The missing step in the standard Keynesian theory [is] the explicit consideration of capitalist finance within a cyclical and speculative context . . . finance sets the pace for the economy. As recovery approaches full employment . . . soothsayers will proclaim that the business cycle has been banished [and] debts can be taken on . . . But in truth neither the boom, nor the debt deflation… and certainly not a recovery can go on forever. Each state nurtures forces that lead to its own destruction. So

I work for a Government I despise for ends I think criminal.

I belong to a culture that includes Proust, Henry James, Tchaikovsky, Cole Porter, Plato, Socrates, Aristotle, Alexander the Great, Michelangelo, Leonardo da Vinci, Christopher Marlowe, Walt Whitman, Herman Melville, Tennessee Williams, Byron, E.M. Forster, Lorca, Auden, Francis Bacon, James Baldwin, Harry Stack Sullivan, John Maynard Keynes, Dag Hammarskjold… These are not invisible men. Poor Bruce. Poor frightened Bruce. Once upon a time you wanted to be a soldier. Bruce, did you know that an openly gay Englishman was as responsible as any man for winning the Second World War? His name was Alan Turing and he cracked the Germans' Enigma code so the Allies knew in advance what the Nazis were going to do — and when the war was over he committed suicide he was so hounded for being gay. Why don't they teach any of this in the schools? If they did, maybe he wouldn't have killed himself and maybe you wouldn't be so terrified of who you are. The only way we'll have real pride is when we demand recognition of a culture that isn't just sexual. It's all there—all through history we've been there; but we have to claim it, and identify who was in it, and articulate what's in our minds and hearts and all our creative contributions to this earth. And until we do that, and until we organize ourselves block by neighborhood by city by state into a united visible community that fights back, we're doomed. That's how I want to be defined: as one of the men who fought the war.

I cannot leave this subject as though its just treatment wholly depended either on our own pledges or economic facts. The policy of reducing Germany to servitude for a generation, of degrading the lives of millions of human beings, and of depriving a whole nation of happiness should be abhorrent and detestable, - abhorrent and detestable, even if it were possible, even if it enriched ourselves, even if it did not sow the decay of the whole civilized life of Europe. Some preach it in the name of Justice. In the great events of man's history, in the unwinding of the complex fates of nations Justice is not so simple. And if it were, nations are not authorized, by religion or by natural morals, to visit on the children of their enemies the misdoings of parents of rulers.

Lenin is said to have declared that the best way to destroy the capitalist system was to debauch the currency. By a continuing process of inflation, governments can confiscate, secretly and unobserved, an important part of the wealth of their citizens. By this method they not only confiscate, but they confiscate arbitrarily; and, while the process impoverishes many, it actually enriches some. The sight of this arbitrary rearrangement of riches strikes not only at security but [also] at confidence in the equity of the existing distribution of wealth. Those to whom the system brings windfalls, beyond their deserts and even beyond their expectations or desires, become "profiteers," who are the object of the hatred of the bourgeoisie, whom the inflationism has impoverished, not less than of the proletariat. As the inflation proceeds and the real value of the currency fluctuates wildly from month to month, all permanent relations between debtors and creditors, which form the ultimate foundation of capitalism, become so utterly disordered as to be almost meaningless; and the process of wealth-getting degenerates into a gamble and a lottery. Lenin was certainly right. There is no subtler, no surer means of overturning the existing basis of society than to debauch the currency. The process engages all the hidden forces of economic law on the side of destruction, and does it in a manner which not one man in a million is able to diagnose.

It is a mistake to think businessmen are more immoral than politicians.

I find economics increasingly satisfactory, and I think I am rather good at it. I want to manage a railroad or organise a Trust or at least swindle the investing public

True progress begins with something no knowledge economy can produce: wisdom about what it means to live well. We have to do what great thinkers like John Stuart Mill, Bertrand Russell, and John Maynard Keynes were already advocating 100 years ago: to “value ends above means and prefer the good to the useful.” We have to direct our minds to the future. To stop consuming our own discontent through polls and the relentlessly bad news media. To consider alternatives and form new collectives. To transcend this confining zeitgeist and recognize our shared idealism.

There are men regarded today as brilliant economists, who deprecate saving and recommend squandering on a national scale as the way of economic salvation; and when anyone points to what the consequences of these policies will be in the long run, they reply flippantly, as might the prodigal son of a warning father: "In the long run we are all dead." And such shallow wisecracks pass as devastating epigrams and the ripest wisdom.

Lenin is said to have declared that the best way to destroy the Capitalist System was to debauch the currency. By a continuing process of inflation, governments can confiscate, secretly and unobserved, an important part of the wealth of their citizens. By this method they not only confiscate, but they confiscate arbitrarily; and, while the process impoverishes many, it actually enriches some.

The crew were all of them inclined to cough and sneeze, the boys particularly, and Keynes said, "We ought put them all in the water: to keep the chest warm must be the foremost concern." Laurence agreed without thinking and was shortly appalled by the sight of Emily bathing with the rest of the young officers, innocent of both clothing and modesty. "You must not bathe with the others," Laurence said to her urgently, having bundled her out and into a blanket. "Mustn't I?" she said, gazing up at him damp and bewildered. "Oh, Christ," Laurence said, under his breath. "No," he told her firmly, "it is not suitable; you are beginning to be a young lady." "Oh," she said dismissively, "Mother has told me all about that, but I have not started bleeding yet, and anyway I would not like to go to bed with any of them," and a thoroughly routed Laurence feebly fell back on giving her some make-work, and fled to Temeraire's side.

Keynes, quite ignoring the covert gestures, the attempts at signaling, of nearly every senior officer, examined [Lily] and declared that she was perfectly fit to fly, "had better fly, I should say; this agitation is unnatural, and must be worked off." "But perhaps," Laurence said, voicing the reluctance which the captains all privately shared, and they as a body began to suggest flights out over the ocean, along the scenic and settled coastline and back; gentle exercise. "I hope," Catherine said, going pink clear up to her forehead in a wave of color, "I hope that no-one is going to fuss; I would dislike fuss extremely.

Imperialism as an arrangement, however, has remained largely invisible to the discipline of economics, even to its best practitioners and even in the colonial period. No less a person than John Maynard Keynes, in his classic work The Economic Consequences of the Peace (1919), where he talks of the ‘economic Eldorado’ that prewar Europe represented, fails to mention that this Eldorado rested upon an elaborate framework of imperialism. Europe’s accessing of food from the ‘new world’, an important aspect of this Eldorado, would not have been possible if this food had not been paid for, through an intricate arrangement, by Britain’s appropriation gratis of a part of the surplus of its colonies and semi-colonies (‘drain of wealth’), and by its export of manufactured goods to its colonies and semi-colonies at the expense of their local producers (‘de-industrialization’).

Halfway through the second term of Franklin Roosevelt, the New Deal braintrusters began to worry about mounting popular concern over the national debt. In those days the size of the national debt was on everyone’s mind. Indeed, Franklin Roosevelt had talked himself into office, in 1932, in part by promising to hack away at a debt which, even under the frugal Mr. Hoover, the people tended to think of as grown to menacing size. Mr. Roosevelt’s wisemen worried deeply about the mounting tension ... And then, suddenly, the academic community came to the rescue. Economists across the length and breadth of the land were electrified by a theory of debt introduced in England by John Maynard Keynes. The politicians wrung their hands in gratitude. Depicting the intoxicating political consequences of Lord Keynes’s discovery, the wry cartoonist of the Washington Times Herald drew a memorable picture. In the center, sitting on a throne in front of a Maypole, was a jubilant FDR, cigarette tilted almost vertically, a grin on his face that stretched from ear to ear. Dancing about him in a circle, hands clasped together, their faces glowing with ecstasy, the braintrusters, vested in academic robes, sang the magical incantation, the great discovery of Lord Keynes: “We owe it to ourselves.” With five talismanic words, the planners had disposed of the problem of deficit spending. Anyone thenceforward who worried about an increase in the national debt was just plain ignorant of the central insight of modern economics: What do we care how much we - the government - owe so long as we owe it to ourselves? On with the spending. Tax and tax, spend and spend, elect and elect ...

In Keynes’s time, physicists were first grappling with the concept of quantum mechanics, which, among other things, imagined a cosmos governed by two entirely different sets of physical laws: one for very small particles, like protons and electrons, and another for everything else. Perhaps sensing that the boring study of economics needed a fresh shot in the arm, Keynes proposed a similar world view in which one set of economic laws came in to play at the micro level (concerning the realm of individuals and families) and another set at the macro level (concerning nations and governments).

Economists who simply advised leaving the economy alone, governments whose first instincts, apart from protecting the gold standard by deflationary policies, was to stick to financial orthodoxy, balance budgets and cut costs, were visibly not making the situation better. Indeed, as the depression continued, it was argued with considerable force not least by J.M. Keynes who consequently became the most influential economist of the next forty years - that they were making the depression worse. Those of us who lived through the years of the Great Slump still find it almost impossible to understand how the orthodoxies of the pure free market, then so obviously discredited, once again came to preside over a global period of depression in the late 1980s and 1990s, which, once again, they were equally unable to understand or to deal with. Still, this strange phenomenon should remind us of the major characteristic of history which it exemplifies: the incredible shortness of memory of both the theorists and practitioners of economics. It also provides a vivid illustration of society's need for historians, who are the professional remembrancers of what their fellow-citizens wish to forget.

We should not conclude from this that everything depends on waves of irrational psychology. On the contrary, the state of long-term expectation is often steady, and, even when it is not, the other factors exert their compensating effects. We are merely reminding ourselves that human decisions affecting the future, whether personal or political or economic, cannot depend on strict mathematical expectation, since the basis for making such calculations does not exist; and that it is our innate urge to activity which makes the wheels go round, our rational selves choosing between the alternatives as best we are able, calculating where we can, but often falling back for our motive on whim or sentiment or chance.

The individualist insists that drastic depressions are the result of credit inflation; (not excessive savings, as the Keynesians would have it) which at all times in history has been caused by direct government action or by government influence. As for aggravated unemployment, the individualist insists that it is exclusively the result of government intervention through inflation, wage rigidities, burdensome taxes, and restrictions on trade and production such as price controls and tariffs. The inflation that comes inevitably with government pump-priming soon catches up with the laborer, wipes away any real increase in his wages, discourages private investment, and sets off a new deflationary spiral which can in turn only be counteracted by more coercive and paternalistic government policies. And so it is that the "long run" is very soon a-coming, and the harmful effects of government intervention are far more durable than those that are sustained by encouraging the unhampered free market to work out its own destiny.

John Maynard Keynes saw the truth at the bottom of all this, which is that our fixation on what he called “purposiveness”—on using time well for future purposes, or on “personal productivity,” he might have said, had he been writing today—is ultimately motivated by the desire not to die. “The ‘purposive’ man,” Keynes wrote, “is always trying to secure a spurious and delusive immortality for his actions by pushing his interests in them forward into time. He does not love his cat, but his cat’s kittens; nor in truth the kittens, but only the kittens’ kittens, and so on forward forever to the end of cat-dom. For him, jam is not jam unless it is a case of jam tomorrow and never jam today. Thus by pushing his jam always forward into the future, he strives to secure for his act of boiling it an immortality.” Because he never has to “cash out” the meaningfulness of his actions in the here and now, the purposive man gets to imagine himself an omnipotent god, whose influence over reality extends infinitely off into the future; he gets to feel as though he’s truly the master of his time. But the price he pays is a steep one. He never gets to love an actual cat, in the present moment. Nor does he ever get to enjoy any actual jam. By trying too hard to make the most of his time, he misses his life.

My feelings about Das Kapital are the same as my feelings about the Koran. I know that it is historically important and I know that many people, not all of whom are idiots, find it a sort of Rock of Ages and containing inspiration. Yet when I look into it, it is to me inexplicable that it can have this effect. Its dreary, out-of-date, academic controversialising seems so extraordinarily unsuitable as material for the purpose … How could either of these books carry fire and sword round half the world? It beats me. [writing to George Bernard Shaw]

in time-wasting loops and diversions. Its changes of direction are frequently teasing: on its journey it heads at different times north, south, and west, as though it has forgotten its easterly destination—or put it aside for the while. At Ashton Keynes it splits into so many rivulets that every house in the village must have a bridge to its own front door; later, around Oxford, it takes a great unhurried detour around the city. It has other capricious tricks up its sleeve: in places it slows to drift lazily in wide pools before recovering its urgency and speeding on again. At Buscot it splits into twin streams to maroon a lengthy piece of territory, then regathers its water into a single channel. If this is hard to understand from a map, the rest is harder. For one thing, the river that flows ever onwards is also seeping sideways, irrigating the

If the Treasury were to fill old bottles with banknotes, bury them at suitable depths in disused coalmines which are then filled up to the surface with town rubbish, and leave it to private enterprise on well-tried principles of laissez-faire to dig the notes up again (the right to do so being obtained, of course, by tendering for leases of the note-bearing territory), there need be no more unemployment and, with the help of the repercussions, the real income of the community, and its capital wealth also, would probably become a good deal greater than it actually is. It would, indeed, be more sensible to build houses and the like; but if there are political and practical difficulties in the way of this, the above would be better than nothing.

Professional investment may be likened to those newspaper competitions in which the competitors have to pick out the six prettiest faces from a hundred photographs, the prize being awarded to the competitor whose choice most nearly corresponds to the average preferences of the competitors as a whole; so that teach competitor has to pick not those faces which he himself finds prettiest, but those which he thinks likeliest to catch the fancy of the other competitors, all of whom are looking at the problem from the same point of view. It is not a case of choosing those which, to the best of one's judgement are really the prettiest, nor even those which average opinion genuinely thinks the prettiest. We have reached the third degree where we devote our intelligences to anticipating what average opinion expects the average opinion to be. And there are some, I believe, who practice the fourth, fifth and higher degrees.

El estudio de la economía no parece exigir ningún don especializado de un orden excepcionalmente superior. ¿No es una disciplina muy fácil comparada con las ramas superiores de la filosofía o la ciencia pura?. Una disciplina fácil de la que muy pocos sobresalen. La paradoja tal vez tenga su explicación en que el economista experto debe poseer una rara combinación de dones. Debe ser en cierta medida matemático, historiador, estadista, filosofo. Debe comprender los símbolos y hablar en palabras. Debe contemplar lo particular desde la óptica de lo general y considerar en un mismo razonamiento lo abstracto y lo concreto. Debe estudiar el presente pensando en el futuro. Ningún aspecto de la naturaleza del hombre o de sus instituciones debe quedarse al margen de su consideración. Debe ser simultáneamente decidido y desinteresado; tan distante e incorruptible como un artista y, sin embargo a veces tan cerca del suelo como un político

He settled for writing a letter, in a quiet corner, while Temeraire dictated his own: "Gentlemen, I am very happy to accept your commission, and we should like to be the eighty-first regiment, if that number is not presently taken. We do not need any rifles, and we have got plenty of powder and shot for our cannons,” Laurence wrote with a vivid awareness of the reactions this should produce, “but we are always in need of more cows and pigs and sheep, and goats would also do, if a good deal easier to come by. Lloyd and our herdsmen have done very well, and I should to commend them to your attention, but there are a lot of us, and some more herdsmen would be very useful.” “Pepper, put in pepper,” another dragon said, craning her head over; she was a middle-weight, yellowish striped with gray, some kind of cross-breed. “And canvas, we must have a lot of canvas—“ “Oh, very well, pepper,” Temeraire said, and continuing his list of requests added, “I should very much like Keynes to come here, and also Gong Su, and Emily Roland, who has my talon-sheaths, and the rest of my crew; and also we need some surgeons for the wounded me. Dorset had better come, too, and some of the other dragon-surgeons. You had all better not stay where you are at present—“ “Temeraire, you cannot write so to your superior officers,” Laurence said, breaking off.

The ideas of economists and political philosophers, both when they are right and when they are wrong, are more powerful than is commonly understood. Indeed the world is ruled by little else. Practical men, who believe themselves to be quite exempt from any intellectual influences, are usually the slaves of some defunct economist. Madmen in authority, who hear voices in the air, are distilling their frenzy from some academic scribbler of a few years back...But, soon or late, it is ideas, not vested interests, which are dangerous for good or evil.

The Bloomsbury Group has been characterised as a liberal, pacifist, and at times libertine, intellectual enclave of Cambridge-based privilege. The Cambridge men of the group (Bell, Forster, Fry, Keynes, Strachey, Sydney-Turner) were members of the elite and secret society of Cambridge Apostles. Woolf’s aesthetic understanding, and broader philosophy, were in part shaped by, and at first primarily interpreted in terms of, (male) Bloomsbury’s dominant aesthetic and philosophical preoccupations, rooted in the work of G. E. Moore (a central influence on the Apostles), and culminating in Fry’s and Clive Bell’s differing brands of pioneering aesthetic formalism. ‘The main things which Moore instilled deep into our minds and characters,’ Leonard Woolf recalls, ‘were his peculiar passion for truth, for clarity and common sense, and a passionate belief in certain values.’ Increasing awareness of Woolf’s feminism, however, and of the influence on her work of other women artists, writers and thinkers has meant that these Moorean and male points of reference, though of importance, are no longer considered adequate in approaching Woolf’s work, and her intellectual development under the tutelage of women, together with her involvement with feminist thinkers and activists, is also now acknowledged.

What an extraordinary episode in the economic progress of man that age was which came to an end in August 1914! The greater part of the population, it is true, worked hard and lived at a low standard of comfort, yet were, to all appearances, reasonably contented with this lot. But escape was possible, for any man of capacity or character at all exceeding the average, into the middle and upper classes, for whom life offered, at a low cost and with the least trouble, conveniences, comforts, and amenities beyond the compass of the richest and most powerful monarchs of other ages. The inhabitant of London could order by telephone, sipping his morning tea in bed, the various products of the whole earth, in such quantity as he might see fit, and reasonably expect their early delivery upon his doorstep; he could at the same moment and by the same means adventure his wealth in the natural resources and new enterprises of any quarter of the world, and share, without exertion or even trouble, in their prospective fruits and advantages; or he could decide to couple the security of his fortunes with the good faith of the townspeople of any substantial municipality in any continent that fancy or information might recommend. He could secure forthwith, if he wished it, cheap and comfortable means of transit to any country or climate without passport or other formality, could despatch his servant to the neighbouring office of a bank for such supply of the precious metals as might seem convenient, and could then proceed abroad to foreign quarters, without knowledge of their religion, language, or customs, bearing coined wealth upon his person, and would consider himself greatly aggrieved and much surprised at the least interference. But, most important of all, he regarded this state of affairs as normal, certain, and permanent, except in the direction of further improvement, and any deviation from it as aberrant, scandalous, and avoidable. The projects and politics of militarism and imperialism, of racial and cultural rivalries, of monopolies, restrictions, and exclusion, which were to play the serpent to this paradise, were little more than the amusements of his daily newspaper, and appeared to exercise almost no influence at all on the ordinary course of social and economic life, the internationalisation of which was nearly complete in practice.