Dominic Wheatley suggests that family businesses should consider the benefits offered by international finance centres
'But, Dom', said my young friend, 'democracy is the political version of the market and you are a market economist.' She was speaking in response to my none-to-expert analysis of the sub-optimal outcome of many, supposedly democratic, processes.
Like the market, democracy works best where its outcome is as unconstrained as possible by rules and processes, and where voters act rationally and vote in line with their own preferences.
My friend was right; I am a market economist. However just as flawed political systems give rise to majority governments who attract only a third of the votes, flawed markets will also delive...