This just might be the most elegantly concise deconstruction of contemporary economics that I’ve ever read. It says it all, it says it in less than forty words, and it harpoons the One True Faith dogmatists (of more than one stripe) right up the arse.
Failure is intrinsic to the market economy: but the legitimacy of capitalism depends in part on how it deals with the consequences of such failure.
The full article is here. It’s much more specific in focus than the quote I’ve used, but still well worth a read. As is most else of what Kay has to say. If you only ever read one book about capitalism, it should be his The Truth About Markets, which banishes all wishy-washy starry-eyed hippie leftism from the debate, while still providing incisive critique of the unhealthy worship of market systems (and the deceitful subversion of same by powerful vested interests). It is ultimately a critique (in the full sense of that word) from knowledge rather than ignorance, from pragmatism rather than blind political faith, and from humanity rather than doctrinal venom. Priceless.