When the grandfather of modern economics, Adam Smith, was preparing his Wealth of Nations almost a quarter of a millennium ago, the workforce of businesses would typically be counted in single or double figures. Now the world's biggest firms, such as Wal-Mart, have a payroll of well over a million, bigger than the population of some entire nations. This paper reviews some of the reasons for this growth, and considers whether it might continue forever. Powerful evidence exists of potential scale economies, in business functions from R&D to finance, and industries from pin production to pharmaceuticals. And these do indeed translate into remarkable performance records for some industrial giants. But surprisingly, on average, bigger firms do not enjoy above average profitability and, on the whole, giant firms are not gaining on the world economy. This paper reviews some of the market and managerial constraints on size, and considers innovative efforts – ranging from the New Zealand dairy industry to the McDonald's chain – to reconcile global-level scale economies in some functions with local autonomy in others. In passing, the paper notes a disturbing array of incentives tempting some managers to expand their empire, even when that is not in the shareholders' interest.

The rejection of the symbolically rather than institutionally innovative Constitutional Treaty in France and the Netherlands as well as the show of disunity in the European Council of mid June 2005 signal the end of a long cycle, culminating in the 1990s, in which the transformation of the European Union into a full-fledged political actor seemed to be possible. For decades ahead there will be no European polity capable of powerfully co-determining the governance of globalization. This was made possible by the rarely debated democratic deficit that makes one people or government decide on issues of general European interest and uncritically glorifies direct democracy, thus opening the door to populism.

The comedy of errors which saw a majority of French citizens voting for domestic motivations, instead of focusing on the actual European issues go back to underlying troubles in contemporary democracy, but also to the contradiction inherent to the attempt to give the functional-bureaucratic EU of ‘Brussels’ a broad democratic legitimization. Rather than the now dead Constitution, it is the experience of the Europeans with common high-political acts of economic and security policy that may in the future foster their political identity in the framework of cultural diversity.

Why is it that the foreign policy of Germany's Red/Green government differs so remarkably from that of earlier German administrations – and what promises and dangers does this hold for the future? A careful analysis of the biographical background of today's German leaders, Chancellor Schröder and foreign minister Fischer in particular, explains the leftist and anti-American twist of current German policy. As children of the radical movement of 1968, these leaders hold a distorted view of Germany's history that ails their foreign policy decision-making. Instead of cultivating the success, the style, and the smoothness of German foreign policy until reunification, they try to distance the new ‘Berlin Republic’ from the old ‘Bonn Republic.’ Moralizing rhetoric and the divide between ambitions (permanent membership of the UN security council, for instance) and capabilities (especially regarding the chronically underfunded military) characterize Schröder's ‘German Way’ – with disastrous consequences. While containment of the Soviet Union was the overarching principle of the Cold War, German leaders today seem determined to contain American influence and to counter the American arrogance of power with the German arrogance of impotence. Thus, they fail to deliver any of the much-needed coherence and clarity about Germany's role in the world.

Michel Foucault's Madness and Civilization (1961) offers a comparison between two types of answers to the same social problems: unemployment, poverty and crime. In the earlier centuries exclusion was the answer. The French Hopital General (1656) replaced it by containment. The institution was a combination of a hospital and jail and offered a solution by isolating insane, unemployed and criminal people at the expense of the society. The 20th century welfare state has a different answer to the same questions. This is, however, challenged by financial limitations. Foucault offers a solution by combining social security and individual autonomy, which was not considered to be important before.

‘Philosophical anthropology’ was initiated in the late 1920s as an alternative to abstract philosophical definitions of human nature (‘animal rationale’) and to the exclusively empirical, physical study of anthropology. Philosophical anthropology focused upon what it meant to be a human being. Its founders concentrated upon the situated existence of human beings and their ability to think beyond and to deny even what was actually vitally important to them. For Cassirer, these efforts remained too abstract because they failed to take the breadth of human cultural activity into account. The decisive feature of human life is neither reason nor language. These are derivative from symbolism, not the other way around. Human beings are best described as ‘animal symbolicum’. The error of earlier anthropological conceptions was not that they venerated reason, but that they ignored the body and so separated reason from emotion. The concept of symbolism, as Cassirer conceived it, overcame this dualism. His philosophical anthropology has been vindicated today in many areas of empirical research, but replacing the concept of ‘reason’ with that of ‘symbolism’ was no minor revision to the Western philosophical tradition, and the amplification and application of this new outlook has barely begun.

Tobacco use was well established among the inhabitants of the Americas when Columbus made his epic voyage. They smoked it in pipes and as cigars and also used it as snuff; it played an important role in social and religious practices. By 1550 pipe smoking was well established in Europe, to be largely supplanted by snuff in the 18th century and by cigarettes in the latter part of the 19th century. It was only proven in the 1950s that smoking was the major cause of lung cancer, which in turn, was responsible for an increasing proportion of deaths. Efforts to reduce smoking have had a limited success so far, but the overall incidence of lung cancer in the UK is now falling. Patterns across Europe are generally similar.

In 1953, Winston Churchill was awarded the Nobel Prize in Literature. Half a year later, I attended a course in English at a British university. We were a group of students from various countries, and we met for social evenings once a week. There were discussions and mutual entertainment as well as just getting together. On one of these occasions, I asked a question relating to the literary aspect of the course: ‘What was the reaction in this country when Winston Churchill got the Nobel Prize in Literature?’ There was complete silence. The main teacher was clearly embarrassed and looked at the other teachers, but not a word was uttered. Finally, he turned to me and said: ‘There was evidently no reaction.’ He looked around once more and added: ‘I think they were glad the old chap got something.’ The man referred to as ‘the old chap’ was about 80 years old at the time, a legend in his own lifetime, the receiver of heaps of distinctions including literary prizes.

Everything that has to do with the Nobel Prize – nominations, reports, discussions – is subject to secrecy for 50 years. This is a blessing for us who are in charge of the Prize. The other side of the coin is that, as far as Churchill is concerned, I am now in a position to account for things that have been hidden so far. Let us see what the archives of the Academy can tell us, bearing in mind that one of the interesting aspects of the Prize is its function in cultural communication.

Museums face what has been called an ethical crisis of illegitimate acquisitions and reluctant restitution. Some claims go far back (like the Elgin Marbles), others are of more recent origin, like those concerning so-called Holocaust Art. Claims often are not purely legal in nature but also have a moral aspect. The government of The Netherlands has chosen, for a policy-oriented approach to deal with claims from the Second World War, a third way of conflict resolution.

In this paper – given as a lecture at Netherlands Institute for Advanced Study in the summer of 2003 – I survey the remarkable renaissance of museums – national and regional, public and private – in Britain in recent years, largely made possible with the financial support of the Heritage Lottery Fund. I look in detail at four non-national museum projects of particular interest: the Horniman Museum in South London, a remarkable and idiosyncratic collection of anthropological, natural history and musical material which has recently been re-housed and redisplayed; secondly, the nearby Dulwich Picture Gallery, famous for its 17th- and 18th-century Old Master paintings, a masterpiece of 19th-century architecture by Sir John Soane, which has been restored, and modern museum services provided. The third is the New Art Gallery, Walsall, where the Garman Ryan collection of early 20th-century painting and sculpture form the centrepiece of a new building with fine galleries and the forum is the Manchester Art Gallery, where the former City Art Gallery and the Athenaeum have been combined in a single building in which to display the city's rich art collections. The Ashmolean Museum in Oxford, of which I am Director, is the most important museum of art and archaeology in England outside London and the greatest University Museum in the world. Its astonishingly rich collections are introduced and the transformational plan for the museum is described. In July 2005 the Heritage Lottery Fund announced a grant of £15 million and the renovation of the Museum is now underway.

The Royal Museum for Central Africa (RMCA) in Tervuren is often referred to as one of the last colonial museums in the world. This article provides an overview of the various steps taken in the fundamental transformation process and the plan for renovation of the museum with a view to making it a modern and dynamic Africa museum. For this institution, which is simultaneously a Museum, Research Institute, and Centre of Information Dissemination, a mere change of décor is not sufficient: a fundamental shift in vision, a series of risks, and especially a move towards dialogue and transparency have been part of the process, which has implications that extend far beyond the walls of the museum.

Archaeological museums often came into existence from private collections of curiosities. When official museums were created in the course of the 18th and 19th centuries, the question of which cultures belonged to the ‘ancient world’ (and which not) was hotly debated, as the example of the National Museum of Antiquities in Leiden shows us. In addition, the role of an archaeological collection in society could be regarded in various ways. In the 19th century the ‘purest examples from antiquity’ were used as models for architects, artists and artisans. Nowadays antiquity seems to inspire many aspects of our culture, but much can be argued against the feeling that the classical spirit is enlightening our lives. An important role can be played by archaeological museums and their curators in a world in which the humanities are severely at risk.