Economic theory is devoted to the study of equilibrium positions. The concept of equilibrium is very useful. It allows us to focus on the final outcome rather than the process that leads up to it. But the concept is also very deceptive. It has the aura of something empirical: since the adjustment process is supposed to lead to an equilibrium, an equilibrium position seems somehow implicit in our observations. That is not true. Equilibrium itself has rarely been observed in real life - market prices have a notorious habit of fluctuating.

The bureaucratic method of building an integrated Europe has exhausted its potential.

How can we escape from the trap that the terrorists have set us? Only by recognizing that the war on terrorism cannot be won by waging war. We must, of course,…

The supremacist ideology of the Bush Administration stands in opposition to the principles of an open society, which recognize that people have different views…

A national debt, if it is not excessive, will be to us a national blessing.

Qui depense trop n'est jamais riche.

The political situation starts to cool a little, but then we get the Ashcroft news and the market freaks out.