The problem is that, in a world of floating exchange rates, as Italy was before the euro, if one country is subjected to a shock which requires it to cut wages, it cannot do so with a modern kind of control and regulation system. It is much easier to do it by letting the exchange rate change. Only one price has to change, instead of many.

Prohibition is an attempted cure that makes matters worse - for both the addict and the rest of us.

Anybody who was easily converted was not worth converting.

It all would have been much better if individuals saved for their own old age.

When you have a time of crisis what happens depends on what ideas are floating around, and what ideas have been developed, and thought through, and are made effective.

You cannot be sure that you are right unless you understand the arguments against your views better than your opponents do.

Hong Kong is the bellwether. If the Chinese stick to their agreement to let Hong Kong go its own path, then China will also go that way. If they don't, that is a very bad sign. I'm optimistic.