Accepting Quote by W. Brian Arthur
“The invisible hand is not perfect. Indeed, the invisible hand is a little bit arthritic ... I'm a believer in free markets, but I think we need to be less naïve. We need to accept that markets give us pretty good solutions, but occasionally they will lock in something inferior.”
About This Quote
Source Talk: Economics and Complexity, 2018
Free markets work well but have flaws; they can lock in suboptimal outcomes.
In simple terms: Markets are good but imperfect.
Recognize market limits and intervene wisely.
Themes
Mood
Type
When to use this quote
- regulatory design
- investment strategy
- public policy
Key Concepts
Questions to Reflect On
- What market failures have you observed?
- How can we design better safeguards?
Over‑reliance on markets can hinder progress.