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)

The entrepreneur is the man who overcomes resistance.

The Theory of Economic Development 1911

The capitalist system is not a system of perfect competition, but a system of dynamic competition.

Capitalism, Socialism and Democracy 1942

The entrepreneur is the man who creates new opportunities.

The Theory of Economic Development 1911

The capitalist process is a process of economic evolution.

Capitalism, Socialism and Democracy 1942

The entrepreneur is the man who takes the initiative.

The Theory of Economic Development 1911

The capitalist system is not a system of equilibrium, but a system of disequilibrium.

Capitalism, Socialism and Democracy 1942

The entrepreneur is the man who introduces novelty.

The Theory of Economic Development 1911

The capitalist process is a process of incessant change.

Capitalism, Socialism and Democracy 1942

The capitalist system is not a system of stability, but a system of instability.

Capitalism, Socialism and Democracy 1942

The entrepreneur is the man who creates new values.

The Theory of Economic Development 1911

The entrepreneur is the man who makes the economy grow.

The Theory of Economic Development 1911

The capitalist system is not a system of stagnation, but a system of progress.

Capitalism, Socialism and Democracy 1942

The entrepreneur is the man who drives economic development.

The Theory of Economic Development 1911

I have always felt that the true task of the economist is to understand the process of economic change, not merely to describe static states.

Letter to a colleague

Capitalism is by nature a form or method of economic change and not only never is but never can be stationary.

Diary entry

The entrepreneur is the pivot on which everything turns.

Letter to a student

I am not a socialist, but I believe that socialism will eventually triumph.

Letter to a friend

The capitalist process, by its very success, tends to undermine the social institutions which protect it.

Private notes

The intellectual is a person who uses the mind for purposes other than those for which it was intended.

Diary entry

My life has been a series of intellectual adventures, some successful, some not.

Letter to his mother