The creative destruction is a term from the economics, which by Joseph Alois Schumpeter one popularized, in this context however from Werner Sombart comes, from which Schumpeter also took over it; Sombart for his part took over the general concept of Friedrich Nietz.

Its core statement reads: Each economic development develops on the process of the creative and/or creative destruction. The factors of production are again and again again arranged by the destruction of old structures. The destruction is thus necessary (and not a system error), so that re-organization can take place.

Trips for the creative destruction are innovations, those by the entrepreneurs to be advanced with the goal of becoming generally accepted on the market.

This concept formation with Schumpeter originates from the sieved chapter of its book capitalism, socialism and democracy (original: Capitalism, Socialism and Democracy, Harper & Brothers, New York 1942). There it writes:

"“The opening of new, strange or native markets and the organizational development from the crafts enterprise and the factory to such companies like the U.S. - Steel illustrate the same process industriellen of a mutation - if I this biological expression to use may -, which incessant the economic structure destroys "“from the inside out"” revolutionized (2), incessant the old structure and creates incessant a new.

This process of the "“creative destruction"” is the fact substantial for capitalism. Of it capitalism consists and in it must also each capitalistic thing live."”

(2) "“these revolutions are not actually continuous; they arise in unsteady impacts, which are separate from each other by tensions of relative peace.

The process as whole runs however continuously - in the sense that always either revolution or absorption of the results of the revolution is under way; both together forms what admits as economic cycle is. "“

See also

The creative destruction is mentioned also in its work of the "“theory of the economic development"”: "“They wants create something new and destroy the old thing [...] (Schumpeter 2002 P. 409)

Literature

• Joseph Schumpeter: Theory of the economic development. In: The American journal OF economics and sociology: publication. quarterly into the OF constructive interest synthesis into the social sciences under grants from the Francis Nelson find and the Robert Schalkenbach Foundation. Volume. 61, No. 2 (2002), P. 405-437

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