Creative destruction

Economics.

Used in a positive sense, creative destruction is the necessary and inevitable process of the decline and failure of outmoded technologies and structures, to be replaced by innovative and better ones.

The term was originated by Joseph Schumpeter, and popularised in his books including the Theory of Economic Development (1911) and Capitalism, Socialism and Democracy (1942).

See also

• Bank of England
• Capitalism
• Depression
• Disruptor
• Downside risk
• Easing
• Economics
• Equilibrium unemployment
• Game changer
• Hysteresis
• Inflation
• Monetary Policy Committee
• Recession
• Scarring
• Tightening