“We must give the system sufficient factors of stability to enable it to work; but we must not assume that these forces are so powerful as to prevent the system from being liable to fluctuations. There must be a tendency to rigidity of certain prices, particularly wage-rates; but there must also be a tendency to rigidity of certain price-expectations as well, in order to provide an explanation for the rigidity of these prices… Indeed we should do better to assume a good deal of variation in different people’s elasticities of expectations… Of course the way in which a population is divided with respect to this sort of sensitivity will vary very much in different circumstances… We have to be prepared to deal with a range of possible cases, varying from that of a settled community, which has been accustomed to steady conditions in the past (and which, for that reason, is not easily disturbed in the present), to that of a community which has been exposed to violent disturbances of prices (and which may have to be regarded, in consequence, as being economically neurotic.”

— John Hicks

Source: Value and capital, (1939), p. 271–2; as cited in: Roberto Scazzieri, ‎Amartya Sen, ‎Stefano Zamagni (2008) Markets, Money and Capital: Hicksian Economics for the Twenty First Century, p. 161

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John Hicks 14

British economist 1904–1989

G. L. S. Shackle (1903–1992) British economist

Source: Epistemics and Economics. (1972), p. 201

“It is unwise to make education too cheap. If everything is provided freely, there is a tendency to put no value on anything. Education must always have a certain price on it; even as the very process of learning itself must always require individual effort and initiative.”

Dwight D. Eisenhower (1890–1969) American general and politician, 34th president of the United States (in office from 1953 to 1961)

Address at the Centennial Celebration Banquet of the National Education Association http://www.eisenhower.archives.gov/all_about_ike/quotes.html (4 April 1957)
1950s

“I shall argue that Keynesian macroeconomics neither asserts nor requires nominal wage and/or price rigidity. It does assert and require that markets not be instantaneously and continuously cleared by prices.”

James Tobin (1918–2002) American economist

"Price Flexibility and Output Stability: An Old Keynesian View" (1993)

“Terrorism is the price of empire. If we do not wish to pay it, we must give up the empire.”

Patrick Buchanan (1938) American politician and commentator

2000s, Where the Right Went Wrong (2004)

“It is absurd to assume that upon the rigid earth-crust the organic originated from the inorganic. In order to explain the nascence of the lowest organisms on the earth-crust, one must assume an already existing organising principle or a thought-process, under conditions that would render organic combinations impossible. We must accordingly assume that these conditions are valid only for the life-process in the actual state of the earth's surface, and only so far as we can explain them may we estimate the possibility of life-processes under other conditions.”

Bernhard Riemann (1826–1866) German mathematician

Gesammelte Mathematische Werke (1876)

“We must be prepared to pay the price for peace, or assuredly we shall pay the price of war.”

Harry Truman (1884–1972) American politician, 33rd president of the United States (in office from 1945 to 1953)

Special Message to the Congress on the Threat to the Freedom of Europe (1948)
Context: The recommendations I have made represent the most urgent steps toward securing the peace and preventing war. We must be ready to take every wise and necessary step to carry out this great purpose. This will require assistance to other nations. It will require an adequate and balanced military strength. We must be prepared to pay the price for peace, or assuredly we shall pay the price of war. We in the United States remain determined to seek peace by every possible means, a just and honorable basis for the settlement of international issues.

“If we would succeed in works of the imagination, we must offer a mild morality in the midst of rigid manners; but where the manners are corrupt, we must consistently hold up to view an austere morality.”

Anne Louise Germaine de Staël (1766–1817) Swiss author

The Influence of Literature upon Society (1800), Pt. 2, ch. 5

“The price system works so well, so efficiently, that we are not aware of it most of the time. We never realize how well it functions until it is prevented from functioning, and even then we seldom recognize the source of the trouble.”

Milton Friedman book Free to Choose

Source: Free to Choose (1980), Ch. 1 "The Power of the Market", p. 14

“We assume…that the banking system must be prepared to expand (or contract) the total supply of money to the extent necessary to prevent any scarcity (or plenty) of funds in the capital market which may be induced by any other disturbing factor, from causing a rise (or fall) in interest rates”

James Meade (1907–1995) British economist

James Meade (1951), The theory of international economic policy, Vol. 1, p. 48; as cited in: Jacques Jacobus Polak (2001) The Two Monetary Approaches to the Balance of Payments, p. 13

“Perfect competition must hold in product and factor markets, and also (and importantly) in capital markets. The assumption has two essential features: economic agents must be price takers; and they must have equal power.”

Nicholas Barr (1943) British economist

Source: Economics Of The Welfare State (Fourth Edition), Chapter 4, State Intervention, p. 73

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