“Keynesian economics at a minimum provides a license for welfare state measures and other government efforts towards redistribution of wealth. The license is the faith that macroeconomic stabilization and prosperity are compatible with a wide range of social policies, that modern capitalism and democracy are robust enough to prosper and progress while being humane and equitable. That faith conflicts with the visions of extreme Right and Left, which agree that extremes of wealth and poverty, of security and insecurity, are indispensable to the functioning of capitalism. Keynesian policies helped to confound those dismal prophecies in the past; I think they will do so again.”

— James Tobin

James Tobin, "Keynes' Policies in Theory and Practice", Challenge (1983).
1970s and later

Adopted from Wikiquote. Last update Oct. 1, 2023. History

Help us to complete the source, original and additional information

Do you have more details about the quote "Keynesian economics at a minimum provides a license for welfare state measures and other government efforts towards red…" by James Tobin?

James Tobin 22

American economist 1918–2002

Related quotes

“Many individuals are capable of creating wealth but are excluded from the job market by minimum wage and licensing laws. Much poverty can be alleviated by allowing people to create wealth at whatever level they can and ‘work their way up.’”

Mary Ruwart (1949) American scientist and libertarian activist

Source: Healing Our World: The Other Piece of the Puzzle, (1993), p. 147

“One of the glaring failures of capitalism is the continuing widespread existence of poverty - often extreme poverty. Even in the advanced economies, many millions of people endure terrible economic and social deprivation, despite the incredible wealth all around them.”

Jim Stanford (1961) Canadian economist

Part 3, Chapter 14, Dividing the Pie, p. 168
Economics For Everyone (2008)

“I believe that material wealth is an exceedingly valuable servant, and a particularly abhorrent master, in our National life. I think one end of government should be to achieve prosperity; but it should follow this end chieﬂy to serve an even higher and more important end - that of promoting the character and welfare of the average man. In the long run, and inevitably, the actual control of the government will be determined by the chief end which the government subserves. If the end and aim of government action is merely to accumulate general material prosperity, treating such prosperity as an end in itself and not as a means, then it is inevitable that material wealth and the masters of that wealth will dominate and control the course of national action. If, on the other hand, the achievement of material wealth is treated, not as an end of government, but as a thing of great value, it is true—so valuable as to be indispensable—but of value only in connection with the achievement of other ends, then we are free to seek through our government, and through the supervision of our individual activities, the realization of a true democracy. Then we are free to seek not only the heaping up of material wealth, but a wise and generous distribution of such wealth so as to diminish grinding poverty, and, so far as may be, to equalize social and economic no less than political opportunity.”

Theodore Roosevelt (1858–1919) American politician, 26th president of the United States

1910s, The Progressives, Past and Present (1910)

“The most fundamental liberal failure of the current era: the failure to embrace a moral vision of America based on the transcendent faith that human beings are more than the sum of their material appetites, our country is more than an economic machine, and freedom is not license but responsibility.”

Bill Moyers (1934) American journalist

"For America's Sake" speech (12 December 2006), as quoted in Moyers on Democracy (2008), p. 21

“Fascism does not look upon the doctrine of economic liberty as an absolute dogma. It does not refer economic problems to individual needs, to individual interest, to individual solutions. On the contrary, it considers the economic development, and especially the production of wealth, as an eminently social concern, wealth being for society an essential element of power and prosperity.”

Alfredo Rocco (1875–1935) Italian politician and jurist

Source: The Political Doctrine of Fascism (1925), p. 113

“Any prosperity policy is a delusion and a path to ruin. There is no economic lesson which the people of the United States need to take to heart more than that. In the second place the Spanish mistakes arose, in part, from confusing the public treasury with the national wealth.”

William Graham Sumner (1840–1910) American academic

"The Conquest of the United States by Spain”, speech at Yale 1899 http://oll.libertyfund.org/titles/sumner-boll-11-w-g-sumner-the-conquest-of-the-united-states-by-spain-1898.

“Socialism takes and redistributes wealth, but it is utterly incapable of creating wealth.”

Leonard E. Read (1898–1983) American academic

Anything That's Peaceful (1964)
Context: Socialism depends upon and presupposes material achievements which socialism itself can never create. Socialism is operative only in wealth situations brought about by motes of production other than its own. Socialism takes and redistributes wealth, but it is utterly incapable of creating wealth.

“At the one end of the scale are the Communist countries: at the other end the United States of America stands for individual liberty in the political sphere and for the maintenance of human rights. But its economy is based on capitalism, with all the problems which it presents, and with the characteristic extreme inequality of wealth in its citizens. … Great Britain, like the other countries of western Europe, is placed geographically and from the point of view of economic and political theory between these two great continental States. … Our task is to work out a system of a new and challenging kind, which combines individual freedom with a planned economy, democracy with social justice.”

Clement Attlee (1883–1967) Former Prime Minister of the United Kingdom

Broadcast (3 January 1948), quoted in The Times (5 January 1948), p. 4
Prime Minister

“The prosperity, and social vitality and technological progress of a people are directly determined by the extent of their liberty. Freedom honors and unleashes human creativity — and creativity determines the strength and wealth of nations. Liberty is both the plan of Heaven for humanity, and the best hope for progress here on Earth.”

George W. Bush (1946) 43rd President of the United States

2000s, 2003, Address to the National Endowment for Democracy (November 2003)

“The American model – democracy – must be regarded as a historical error, economically as well as morally. Democracy promotes shortsightedness, capital waste, irresponsibility, and moral relativism. It leads to permanent compulsory income and wealth redistribution and legal uncertainty. It is counterproductive. It promotes demagoguery and egalitarianism. It is aggressive and potentially totalitarian internally, vis-à-vis its own population, as well as externally. In sum, it leads to a dramatic growth of state power, as manifested by the amount of parasitically – by means of taxation and expropriation – appropriated government income and wealth in relation to the amount of productively – through market exchange – acquired private income and wealth, and by the range and invasiveness of state legislation. Democracy is doomed to collapse, just as Soviet communism was doomed to collapse.”

Hans-Hermann Hoppe (1949) Austrian school economist and libertarian anarcho-capitalist philosopher

‘Demokratie. Der Gott, Der Keiner Ist’ http://www.lewrockwell.com/hoppe/hoppe9.html

Help us to complete the source, original and additional information

James Tobin 22

Related quotes

Related topics