Joseph Schumpeter

Economics Austrian-American 1883 – 1950 318 quotes

Creative destruction, entrepreneurship theory

Most quoted

"In capitalist reality as distinct from its textbook picture, it is not that kind of competition which counts but the competition from the new commodity, the new technology, the new source of supply, the new type of organization which commands a decisive cost or quality advantage and which strikes not at the margins of the profits and the outputs of the existing firms but at their foundations and their very lives."

— from Capitalism, Socialism and Democracy, 1942

"The function of the entrepreneur is to reform or revolutionize the pattern of production by exploiting an invention or, more generally, an untried technological possibility for producing a new commodity or producing an old one in a new way, by opening up a new source of supply of materials or a new outlet for products, by reorganizing an industry and so on."

— from The Theory of Economic Development, 1934

"The opening up of new markets, foreign or domestic, and the organizational development from the craft shop and factory to such concerns as U.S. Steel illustrate the same process of industrial mutation that incessantly revolutionizes the economic structure from within, incessantly destroying the old one, incessantly creating a new one."

— from Capitalism, Socialism and Democracy, 1942

All quotes by Joseph Schumpeter (318)

Capitalism without democracy is possible, but not vice versa.

Capitalism, Socialism and Democracy 1942

The theory of democracy is not a theory of what ought to be, but of what is.

Capitalism, Socialism and Democracy 1942

Every social environment has its own definition of sin.

Capitalism, Socialism and Democracy 1942

The economist is a watchmaker, not a prophet.

Speech at Harvard 1934

History shows that all great civilizations have decayed from within.

Capitalism, Socialism and Democracy 1942

The role of the entrepreneur is to introduce new combinations.

The Theory of Economic Development 1911

In the long run, all is flux.

Personal correspondence

The market is a mechanism for coordinating the plans of millions of people.

Capitalism, Socialism and Democracy 1942

Intellectuals are the prophets of the anti-capitalist crusade.

Capitalism, Socialism and Democracy 1942

The essence of the evolutionary process is change.

Capitalism, Socialism and Democracy 1942

Beauty is the first test; there is no permanent place in the world for ugly mathematics.

Business Cycles 1939

The decline of capitalism would not mean an end to progress.

Capitalism, Socialism and Democracy 1942

Life is a gamble at terrible odds, if it were not so, it would not be worth the while.

Personal reflection

Democracy is a method of political organization.

Capitalism, Socialism and Democracy 1942

The future is unpredictable, but we can prepare for it.

Interview 1950

Economics is a method rather than a doctrine.

Das Wesen und der Hauptinhalt der theoretischen Nationalökonomie 1908

The joy of life is in the struggle itself.

Letter to a friend

Capitalism is the most successful system ever devised.

Capitalism, Socialism and Democracy 1942

Wit is the salt of conversation.

Speech 1920

The end of capitalism is inevitable.

Capitalism, Socialism and Democracy 1942