Economists From The United States

"Growth as a goal, to repeat, is delusion. William James, the American philosopher, talked of the "bitch goddess success." A philosopher of business today might well talk of the "bitch goddess growth.""

"Organizationally what is required - and evolving - is systems management."

"The world political system is till based on the concept of the national sovereign state. For the first time therefore, in three hundred years economy and sovereignty are becoming divorced from each other."

"Financial "synergy" is a will-o'-the-wisp.It looks good on paper, but it fails to work out in practice."

"There is a point of complexity beyond which a business is no longer manageable."

"Engineers speak half–jokingly about Murphy's Law: " If anything can go wrong, it will." But complexity stands under a second law as well. Let me call it Drucker's law: "If one thing goes wrong, everything else will, and at the same time.""

"Absolute size by itself is no indicator of success and achievement, let alone of managerial competence. Being the right size is."

""Value added" is a meaningless concept for a retail business , for a bank, for a life insurance company, and for any other business which is not primarily engaged in manufacturing."

"There is a point at which a transformation has to take place."

"The individual needs the return to spiritual values, for he can survive in the present human situation only by reaffirming that man is not just a biological and psychological being but also a spiritual being, that is creature, and existing for the purposes of his Creator and subject to Him."

"The moment people talk of "implementing" instead of "doing," and of "finalizing" instead of "finishing," the organization is already running a fever."

"An organization belongs on a sick list when promotion becomes more important to its people than accomplishment of their job they are in. It is sick when it is more concerned with avoiding mistakes than with taking risks, with counteracting the weaknesses of its members than with building on their strength. But it is sick also when "good human relations" become more important than performance and achievement."

"We no longer even understand the question whether change is by itself good or bad, ...We start out with the axiom that it is the norm. We do not see change as altering the order... We see change as being order itself--indeed the only order we can comprehend today is a dynamic, a moving, a changing one."

"Capitalism is being attacked not because it is inefficient or misgoverned but because it is cynical. And indeed a society based on the assertion that private vices become public benefits cannot endure, no matter how impeccable its logic, no matter how great its benefits."

"The company is not and must never claim to be home, family, religion, life or fate for the individual. It must never interfere in his private life or his citizenship. He is tied to the company through a voluntary and cancellable employment contract, not through some mystical or indissoluble bond."

"- A manager sets objectives - A manager organizes - A manager motivates and communicates - A manager, by establishing yardsticks, measures - A manager develops people."

"The fundamental reality for every worker, from sweeper to executive vice-president, is the eight hours or so that he spends on the job. In our society of organizations, it is the job through which the great majority has access to achievement, to fulfillment, and to community."

"It does not matter whether the worker wants responsibility or not, ...The enterprise must demand it of him."

"It does not follow from the separation of planning and doing in the analysis of work that the planner and the doer should be two different people. It does not follow that the industrial world should be divided into two classes of people: a few who decide what is to be done, design the job, set the pace, rhythm and motions, and order others about; and the many who do what and as they are told."

"The better a man is, the more mistakes will he make - for the more new things he will try. I would never promote a man into a top level job who had not made mistakes, and big ones at that. Otherwise he is sure to be mediocre."

"A man should never be appointed into a managerial position if his vision focuses on people's weaknesses rather than on their strengths."

"The days of the 'intuitive' manager are numbered."

"Free enterprise cannot be justified as being good for business. It can be justified only as being good for society."

"There is only one valid definition of a business purpose: to create a customer."

"That the government's power under the Taft-Hartley Act to stop a strike by injunction so clearly strengthens the hand of the employer—even though it is used only when a strike threatens the national health, welfare, or safety—is a grave blemish and explains much of union resistance to the Act."

"What the worker needs is to see the plant as if he were a manager. Only thus can he see his part; from his part he cannot reach the whole. This "seeing" is not a matter of information, training courses, conducted plant tours, or similar devices. What is needed is the actual experience of the whole in and through the individual's work."

"The major incentive to productivity and efficiency are social and moral rather than financial."

"The large industrial enterprise is... the representative institution of an industrial society. It determines the individual's view of his society."

"We still think and talk of the basic problems of an industrial society as problems that can be solved by changing the "system," that is the superstructure of political organization. Yet the real problems lie within the [industrial] enterprise. On the contrary, it is the solution of the problems of the enterprise that will shape the system under which we live."

"We need in this modern world... an incredible number of very highly trained technicians and professional men... But nothing will be gained unless [they] are also educated as citizens... to know about the ends, the beliefs, the purposes, to... which their craft and skill is to contribute... about the basic issues which... every generation of free men has had to decide... [I]t is the liberal arts... that is our lighthouse in the dark and uncharted waters of the postwar world."

"It is this country today which has to prove—to a skeptical world and in constant competition—that it is possible to found a strong and stable modern industrial nation on the concept of citizenship in a free society. Hence the central task in this country, the task with the attainment of which we will stand or fall, is education."

"Today we know that a free society is not the product of nature, but of man; that it is not self-maintaining and self-winding, but demands the vigilant and constant support of responsible citizens... freedom is not inevitable and easy... but the product of a long, hard struggle of man's reason and man's faith that has to be fought over and won again by every generation."

"[T]he nineteenth century was under the illusion that citizenship can take care of itself. It thought that a free society was "natural" and... would maintain itself by its own momentum. ..."[A]utomatic progress" would preserve liberty. ...[T]hese beliefs were false... they were destructive. They are not... the source and origin of Hitlerism, but they greatly facilitated its rise."

"[W]e have been forced to put a major emphasis on the acquisition of technical knowledge."

"[I]n a free society each individual has a responsibility towards the beliefs of his society—a responsibility on which all the rights and duties of citizenship are founded."

"It is not enough for the economist in a free society to be a good economic craftsman; he must also think and act as a citizen."

"[A] totalitarian country... has a much greater freedom of political action and can use whatever policies seem expedient regardless of their moral or philosophical implications. ...[T]here is nothing weaker than a free society which no longer believes strongly enough in the principles on which it is founded to base a living faith on them, but still believes strongly enough in them to be unable to act contrary to them; for such a society will be paralyzed. ...But ...nothing is stronger than a free society which is conscious of its beliefs and vigorous in its adherence to them. For such a society possesses a moral strength and dignity and inspires a loyalty among its members which are invincible."

"To eliminate depressions we must distribute capital investment... to eliminate the collapse of producer goods during the slack years... through a taxation policy... funds... should be spread... by means of a fiscal policy which rewards the accumulation of capital funds to be used for employment-creating investments in slack years. ...At the same time we should be able to organize for a steady expansion of our economic activity. One way of doing this would be to organize systematically the satisfaction of such major unfulfilled needs as housing. ...The only thing we lack today is the organization necessary for the mass production and mass assembly of houses, which could easily by supplied either by large corporation or by local cooperatives. ...[T]he problem of full employment is primarily one of organizing the resources which we so amply possess. ...[I]t requires that rarest of all qualities, political imagination ..."

"[N]othing is easier to attain than full employment... All we would have to do, for instance, would be to continue a war-economy at no more, perhaps, than half its present level. Or we could adopt some sort of state socialism, under which the surplus resources... would be employed on non-economic projects, it makes... little difference what twentieth century equivalent of the Egyptian pyramids... so long as we do not use the surplus labor to produce ordinary economic goods. ...But we refuse to accept the kind of society to which either [a permanent war economy or state socialism] would lead. We demand more than a stable society, we demand a good society. Specifically, we demand of our economic system... that it produce goods... that add to the wealth... and... that these goods be produced... under... the free enterprise system."

"[C]hronic unemployment is a denial of citizenship, a destruction of the rationality of our society, and a sign that we are socially incapable of mastering our economic tools. Reasonably full employment... is... a prerequisite to internal stability. ...[F]ailure to stabilize our economy would be the most severe threat to international order."

"[C]ollaboration between... divergent systems is possible... only as long as both are stable. ...International security is ...based upon the internal political and social security of each of the Great Powers."

"[W]e are all learning fast that we have to respect each other's basic beliefs and institutions, however much we must dislike them. If there is one lesson to this war, it is that the attempt to impose one's own system on the world, such as was made by both the Germans and the Japanese, must end not only in total world-wide conflict, but in the defeat and destruction of the country that makes the attempt."

"Without... a subconscious unity, understanding of each other's behavior is difficult to attain. ...We have all ...had experience ...where someone from a different environment, a different region of the country, a different social group, perhaps a different country, behaves contrary to what we consider normal behavior ...In international affairs we have had a grotesque and tragic example of such failure to understand, and of its dangers, in Mr. Neville Chamberlain's profound belief that Hitler must react, think, and act like a successful British businessman; and it was probably Hitler's undoing that he expected the British and Americans to react and act in the "realistic" fashion of a Nazi boss."

"For if this country—or any other of the great powers—were to make its defense program a function of its domestic employment situation, it would become impossible to conduct a constructive and well-thought out foreign policy or to develop any lasting collaboration."

"The rule should be to minimize the need for people to get together to accomplish anything."

"One reason for the tremendous increase in health-care costs in the U.S. is managerial neglect of the "hotel services" by the people who dominate the hospital, such as doctors and nurses."

"The first organization structure in the modern West was laid down in the canon law of the Catholic Church eight hundred years ago."

"The tool user, provided the tool is made well, need not, and indeed should not, know anything about the tool."

"Communication is always "propaganda." The emitter always wants "to get something across.""

"One has to make a decision when a condition is likely to degenerate if nothing is done."