Concern Quote by Kenneth Arrow
“Markets are not, in my opinion, a full solution to any problem. The obvious problem they don't meet is the concerns of the welfare of individuals who may get lost in the operation of the system - the distributional question. We've seen this growing as we go further and further toward a market ideology in the United States and the United Kingdom. We've seen a decline in the welfare of the working poor, leaving aside any other pathologies, just the working poor, a very distinct increase at the very top levels.”
About This Quote
Source Speech: Economic Policy Forum, 1970s
Markets cannot fully address individual welfare; distributional concerns remain unresolved.
In simple terms: Markets miss personal well‑being and fairness.
Key Takeaway
Consider policies that complement markets for equity.
Themes
economics
equity
policy
market limits
Mood
analytical
concerned
Type
political
economic
When to use this quote
- public policy design
- social safety nets
- income inequality debates
Key Concepts
social welfare
distributional justice
Questions to Reflect On
- How can we balance market efficiency with social welfare?
- What policies best address the distributional question?
A Different Perspective
Markets may exacerbate inequality without targeted interventions.
