The work of Friedrich Hayek describes an extensive political economy, with explicit consideration of the psychological limits to human understanding, the market as a mechanism of information gathering and social coordination, and the relationship between market processes and the free society,...

"Friedrich Hayek's foreboding of the Great Crash would have been equally relevant for the Credit Crunch. It was based upon precepts that have never been taken up by the economics mainstream. Although Maynard Keynes set no store by quantification, mathematical modelling of the economy and...

Keynesianism supports make-work schemes without regard for consumers' preferences. The impact of fiscal and monetary policy in corrupting the flow of inter-temporal production is entirely discounted. Where Keynes argued that long-term considerations should not obstruct the implementation of...

The deficiencies of economic science are examined against its historical development: the utilitarian concentration upon individual choice conflates preferences and values and the hedonistic calculus is inoperable in the presence of incommensurability. In restricting explanations of behavioral...

"The quantity theory of money is an enduring idea, which shows in many guises. At its heart is a truth. Government borrowing is the root of inflation and a source of market distortions. Although two centuries have passed since David Ricardo explained how state debt leads inevitably either to...

"By the width of his perspective, Hayek presents a challenge. Those who face up to that challenge are changed by the experience. The inevitable conclusion is that mainstream economics is defective by both its self-indulgent over-quantification and its persistence in presuming to formulate...

Even though Keynesian policy has shown itself ineffective in sustaining full employment without inflation, bogus panaceas have again been rolled out, by politicians and economists seeking to ameliorate the aftermath of excessive credit. Keynesian interventions can only impair readjustments and...