Milton Friedman: Governance

Milton Friedman was American economist, statistician, and writer. Explore interesting quotes on governance.
Milton Friedman: 316 quotes11 likes

“A government which maintained law and order, defined property rights, served as a means whereby we could modify property rights and other rules of the economic game, adjudicated disputes about the interpretation of the rules, enforced contracts, promoted competition, provided a monetary framework, engaged in activities to counter technical monopolies and to overcome neighborhood effects widely regarded as sufficiently important to justify government intervention, and which supplemented private charity and the private family in protecting the irresponsible, whether madman or child—such a government would clearly have important functions to perform. The consistent liberal is not an anarchist.”

Milton Friedman

Source: (1962), Ch. 2 The Role of Government in a Free Society, p. 34

“Although I wish the anarchists luck, since that’s the way we ought to be moving now. But I believe we need government to enforce the rules of the game. By prosecuting anti-trust violations, for instance. We need a government to maintain a system of courts that will uphold contracts and rule on compensation for damages. We need a government to ensure the safety of its citizens–to provide police protection. But government is failing at a lot of these things that it ought to be doing because it’s involved in so many things it shouldn’t be doing.”

Milton Friedman

A 1973 Interview with Milton Friedman – Playboy Magazine
“Interview with Milton Friedman”, Playboy magazine (Feb. 1973)

“If we have system in which government is in a position to give large favor - it's human nature to try to get this favor - whether those people are large enterprises, or whether they're small businesses like farmers, or whether they're representatives of any other special group. The only way to prevent that is to force them to engage in competition one with the other.”

Milton Friedman

Milton Friedman - Big Business, Big Government http://www.youtube.com/watch?v=R_T0WF-uCWg

“The strongest argument for free enterprise is that it prevents anybody from having too much power. Whether that person is a government official, a trade union official, or a business executive. If forces them to put up or shut up. They either have to deliver the goods, produce something that people are willing to pay for, are willing to buy, or else they have to go into a different business.”

Milton Friedman

From The Tyranny of Control, an episode of the PBS Free to Choose television series (1980, vol. 2 transcript) http://www.freetochoosemedia.org/freetochoose/detail_ftc1980_transcript.php?page=2

“Spending by government currently amounts to about 45 percent of national income. By that test, government owns 45 percent of the means of production that produce the national income. The U. S. is now 45 percent socialist.”

Milton Friedman

Article "We Have Socialism, Q.E.D." http://www.sangam.org/taraki/articles/2006/11-25_Friedman_MGR.php?uid=2075 in The New York Times (31 December 1989)

“The need for government in these respects arises because absolute freedom is impossible. However attractive anarchy may be as a philosophy, it is not feasible in a world of imperfect men.”

Milton Friedman

Source: (1962), Ch. 2 The Role of Government in a Free Society, p. 25

“Is there some society you know that doesn't run on greed? You think Russia doesn't run on greed? You think China doesn't run on greed? What is greed? Of course, none of us are greedy, it's only the other fellow who's greedy. The world runs on individuals pursuing their separate interests. The great achievements of civilization have not come from government bureaus. Einstein didn't construct his theory under order from a bureaucrat. Henry Ford didn't revolutionize the automobile industry that way. In the only cases in which the masses have escaped from the kind of grinding poverty you're talking about, the only cases in recorded history, are where they have had capitalism and largely free trade. If you want to know where the masses are worse off, worst off, it's exactly in the kinds of societies that depart from that. So that the record of history is absolutely crystal clear that there is no alternative way, so far discovered, of improving the lot of the ordinary people that can hold a candle to the productive activities that are unleashed by the free-enterprise system.”

Milton Friedman

from an interview with Phil Donahue (1979): partial transcript http://www.slobodaiprosperitet.tv/en/node/847 from SiP TV ; or find link to full interview in the External links Section

“If a tax cut increases government revenues, you haven't cut taxes enough.”

Milton Friedman

As quoted in "Milton Friedman's Last Lunch" at Forbes.com (11 December 2006)

“Corruption is government intrusion into market efficiencies in the form of regulations.”

Milton Friedman

Frequently misattributed to Milton Friedman based on a monologue from the 2005 movie Syriana
Misattributed

“The smaller the unit of government and the more restricted the functions assigned government, the less likely it is that its actions will reflect special interests rather than the general interest.”

Milton Friedman book Free to Choose

Source: Free to Choose (1980), Ch. 10 “The Tide Is Turning”, p. 314

“The average income of blacks here is far higher than the average income of all the people in the Soviet Union. The official government definition of the poverty line in the U. S. is higher than the average income in the Soviet Union; it’s higher than the income received by 90 percent of the people on the world’s surface. Now, that doesn’t mean blacks aren’t subject to injustice; of course they are.”

Milton Friedman

“Interview with Milton Friedman”, Playboy magazine (Feb. 1973)

“The essence of the problem is that once we begin to allow exceptions for special interests, we move from a system of private arrangements to a political system where everyone’s freedom is limited and government becomes a matter of trying to balance those interests. Nobody really wins under these terms.”

Milton Friedman

“Interview with Milton Friedman”, Playboy magazine (Feb. 1973)

“As it developed in the late eighteenth and early nineteenth centuries, the intellectual movement that went under the name of liberalism emphasized freedom as the ultimate goal and the individual as the ultimate entity in the society. It supported laissez faire at home as a means of reducing the role of the state in economic affairs and thereby enlarging the role of the individual; it supported free trade abroad as a means of linking the nations of the world together peacefully and democratically. In political matters, it supported the development of representative government and of parliamentary institutions, reduction in the arbitrary power of the state, and protection of the civil freedoms of individuals.”

Milton Friedman book Capitalism and Freedom

Introduction, p. 5
Capitalism and Freedom (1962)

“The preservation of freedom is the protective reason for limiting and decentralizing governmental power. But there is also a constructive reason. The great advances of civilization, whether in architecture or painting, in science or literature, in industry or agriculture, have never come from centralized government. … Government can never duplicate the variety and diversity of individual action.”

Milton Friedman book Capitalism and Freedom

Introduction, pp. 2-3
Capitalism and Freedom (1962)

“The Chilean economy did very well, but more important, in the end the central government, the military junta, was replaced by a democratic society. So the really important thing about the Chilean business is that free markets did work their way in bringing about a free society.”

Milton Friedman

“Commanding Heights, Interview on PBS” https://www.pbs.org/wgbh/commandingheights/shared/minitext/int_miltonfriedman.html, (Oct. 1, 2000)

“Thank heaven that we don’t get all of the government that we are made to pay for.”

Milton Friedman

Quoted in the House of Lords, (Nov. 24, 1994), also in Oxford Dictionary of Modern Quotes, Third Edition, Elizabeth Knowles, edit., Oxford University Press (2007) p. 124

“The most unresolved problem of the day is precisely the problem that concerned the founders of this nation: how to limit the scope and power of government. Tyranny, restrictions on human freedom, come primarily from governmental restrictions that we ourselves have set up.”

Milton Friedman

” “Interview with Milton Friedman” https://www.minneapolisfed.org/publications/the-region/interview-with-milton-friedman, David Levy, Federal Reserve Bank of Minneapolis (June 1, 1992)

“If you look at every program that the government has adopted in the direction of extending its scope, it took an enormous propaganda campaign by special propaganda groups to get those measures passed. There was no underlining public demand for those measures. On the contrary, the demand had to be created, it had to be developed, it had to be produced. And it was created, it was developed, it was produced, by people… who sincerely wanted to see an expansion in the scope of government.”

Milton Friedman

“The Social Security Myth” https://www.youtube.com/watch?v=rCdgv7n9xCY&t=124s (1980s)

“Will we read next that government control of prices has created a shortage of sand in the Sahara?”

Milton Friedman

“Things That Ain’t So by Milton Friedman”, Newsweek (March 10, 1980) p. 79

“That is a widespread myth, that it is possible to spend money with nobody paying for it. You have everybody screaming that we ought to have new, bigger, more generous government programs. Where are we going to raise the money? Tax business. But business corporations can’t pay any taxes. A corporate executive may sign the check, but where does he get the money? From his stockholders or from his customers or from his employees. Unlike the federal government, he doesn’t have a printing press in his basement. So the only way he can pay money to the government is imposing a burden on somebody. Government cannot spend money at nobody’s expense.”

Milton Friedman

“Economic Myths and Public Opinion” https://miltonfriedman.hoover.org/friedman_images/Collections/2016c21/AmSpectator_01_1976.pdf, The Alternative: An American Spectator, vol. 9, no. 4, (January 1976) pp. 5-9