Creative destruction

Creative destruction (German: schöpferische Zerstörung) is a term that came from Marxism. It talks about how wealth is gathered and lost under capitalism. The term was first used in Werner Sombart's Krieg und Kapitalismus ("War and Capitalism", 1913) These ideas were first discussed in books The Communist Manifesto (1848), in Grundrisse (1857) and "Volume IV" of Das Kapital (1863).

Creative destruction is supposed to describe a theory of how the destruction of economic order leads to capitalistic economic ideals. Sombart is credited for using it first in his 1913 book Krieg und Kapitalismus. The works and publications of Marxists such as Karl Marx himself, and Friedrich Engels, a socialist scientist, discuss the ideas of creative destruction.

In and after the 1950s, the term became associated with Austrian-American economist Joseph Schumpeter. Schumpeter is credited for making the theory popular. However, his idea of creative destruction was quite different from Marx's original theory. The term gained popularity within neoliberal or free-market economics where it is used to described processes such as downsizing. The original Marxist usage has, however, been maintained in the work of influential social scientists such as David Harvey, Marshall Berman, and Manuel Castells.

Creative Destruction Media

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  Karl Marx (1818–1883) never explicitly used the mark "creative destruction"

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  In Hinduism, the god Shiva is simultaneously destroyer and creator, portrayed as Shiva Nataraja (Lord of the Dance), which is proposed as the source of the Western notion of "creative destruction".

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  Joseph Schumpeter (1883–1950) is credited with coining the modern understanding of the term

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  Polaroid instant cameras have disappeared almost completely with the spread of digital photography. They were only to return once again in 2017 with new cameras and films, as the demand for the instant photo was underestimated.

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  Manuel Castells in 2020

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  Daniele Archibugi in 2006