Joseph Schumpeter
Read this biographical article about Joseph Schumpeter. It gives some interesting context to his innovations in economic thought, which were largely eclipsed by the rise of Keynesian economics.
Joseph Schumpeter
Joseph Schumpeter
Joseph Alois Schumpeter (February 8, 1883 – January 8, 1950) was an economist from Austria and a giant in the history of economic thought. His work initially received little acclaim, the work of his contemporary John Maynard Keynes garnering all the attention. Schumpeter's view of economic health was radically different from that of Keynes, regarding innovation by entrepreneurs and investment into the development of new technologies as the essence of healthy, dynamic disequilibrium. He coined the term "creative destruction" to describe this process of the old being constantly replaced by the new. In fact, he viewed the economy as somewhat like a living organism, constantly growing and changing to maintain its health.
He warned that capitalism holds the seeds of its own destruction, and that government control over the economy carries the danger of out of control inflation and economic disaster, both due to the self-centered nature of human beings. Schumpeter's analysis has proved of lasting impact, and has garnered the respect and attention of those involved in economic policy.
As humankind advances in maturity, overcoming the selfishness that threatens the life of successful economies and democracy, much of Schumpeter's work continues to inform and support the development of a healthier, prosperous society that satisfies all people.
Source: New World Encyclopedia, https://www.newworldencyclopedia.org/entry/Joseph_Schumpeter
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