“Schumpeter’s work, his dynamic view of the entrepreneur and creative destruction has had a great impact on me. He indeed wrote a book, Capitalism, Socialism and Democracy, which intended to give a complex analysis of the two systems. But these two books, and a few others (e. g., some of Mises’s and Hayek’s works) are rather exceptional. A typical American textbook on economic systems is not written with the same ambition about capitalism with which I wrote about socialism. It doesn’t give you a general model of capitalism, including the characterization of the political, ideological, and social spheres.”

János Kornai, in "An Interview with János Kornai : Interviewed by Olivier Blanchard", Macroeconomic Dynamics, 1999

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János Kornai1

Hungarian economist 1928

Sidney G. Winter (1935) American economist

Dynamic Capability as a Source of Change, 2008

“A final aspect of all open access orders is Schumpeter’s notion of creative destruction, one of the most powerful descriptions of a competitive, open access economy. When Schumpeter wrote Capitalism, Socialism, and Democracy in the early 1940s, the economic theory of perfect competition among atomistic firms (i. e., firms too small to have market power) had come under sustained attack as unrealistic. Large and powerful economic organizations dominated the new economy, and their behavior did not match the textbooks. Despite this dominance, the economy produced historically unprecedented, sustained economic development. Schumpeter asked, How could large businesses that were supposed to choke off competition and growth nonetheless generate such spectacular productivity increases in a world that seemed ever more competitive?”

Douglass C. North (1920–2015) American Economist

Source: Violence and Social Orders (2009), Ch. 4 : Open Access Orders

“God has, in fact, written two books, not just one. Of course, we are all familiar with the first book he wrote, namely Scripture. But he has written a second book called creation.”

Francis Bacon (1561–1626) English philosopher, statesman, scientist, jurist, and author

“A man who chooses between drinking a glass of milk and a glass of a solution of potassium cyanide does not choose between two beverages; he chooses between life and death. A society that chooses between capitalism and socialism does not choose between two social systems; it chooses between social cooperation and the disintegration of society. Socialism is not an alternative to capitalism; it is an alternative to any system under which men can live as human beings.”

Ludwig von Mises book Human Action

1963 edition, p. 680
Human Action (1949)

“Winston Churchill said that democracy was the worst possible form of government, except for all the others. Maybe we can say the same about capitalism. For all of its faults, it gives most hardworking people a chance to improve themselves economically, even as the deck is stacked in favor of the privileged few… Here are the choices most of us face in such a system: Get bitter or get busy.”

Bill O'Reilly (1949) American political commentator, television host and writer

[2000-09-12, The O'Reilly Factor: The Good, the Bad, and the Completely Ridiculous in American Life, Broadway Books, 12, 9780767905282, 00057892, 731339075, 6035584W]
Quoted in [2001-04-05, http://www.foxnews.com/story/0,2933,2517,00.html, "Sample Chapter of The O'Reilly Factor", FoxNews.com, 2007-09-20]

“At the one end of the scale are the Communist countries: at the other end the United States of America stands for individual liberty in the political sphere and for the maintenance of human rights. But its economy is based on capitalism, with all the problems which it presents, and with the characteristic extreme inequality of wealth in its citizens. … Great Britain, like the other countries of western Europe, is placed geographically and from the point of view of economic and political theory between these two great continental States. … Our task is to work out a system of a new and challenging kind, which combines individual freedom with a planned economy, democracy with social justice.”

Clement Attlee (1883–1967) Former Prime Minister of the United Kingdom

Broadcast (3 January 1948), quoted in The Times (5 January 1948), p. 4
Prime Minister

“In a capitalist democracy there are essentially two methods by which social choices can be made: voting, typically used to make ‘political’ decisions, and the market mechanism, typically used to make ‘economic’ decisions. In the emerging democracies with mixed economic systems Great Britain, France, and Scandinavia, the same two modes of making social choices prevail, though more scope is given to the method of voting and to decisions based directly or indirectly on it and less to the rule of the price mechanism. Elsewhere in the world, and even in smaller social units within the democracies, the social decisions are sometimes made by single individuals or small groups and sometimes (more and more rarely in this modern world) by a widely encompassing set of traditional rules for making the social choice in any given situation, for example, a religious code.”

Kenneth Arrow (1921–2017) American economist

Source: 1950s-1960s, Social Choice and Individual Values (1951), p. 1: Opening pharagraph

“Investment of capital, to yield its fruit in the future, must be based on expectations, of opportunities in the future. When I put this to Hayek, he told me that this was indeed the direction in which he had been thinking. Hayek gave me a copy of a paper on 'intertemporal equilibrium', which he had written some years before his arrival in London; the conditions for a perfect foresight equilibrium were there set out in a very sophisticated manner.”

John Hicks (1904–1989) British economist

Source: Money, Interest and Wages, (1982), p. 6
Context: I remember Robbins asking me if I could turn the Hayek model into mathematics... it began to dawn on me that... the model must be better specified. It was claimed that, if there were no monetary disturbance, the system would remain in 'equilibrium'. What could such an equilibrium mean? This, as it turned out, was a very deep question; I could do no more, in 1932, than make a start at answering it. I began by looking at what had been said by... Pareto and Wicksell. Their equilibrium was a static equilibrium, in which neither prices nor outputs were changing... That, clearly, would not do for Hayek. His 'equilibrium' must be progressive equilibrium, in which real wages, in particular, would be rising, so relative prices could not remain unchange … The next step in my thinking, was … equilibrium with perfect foresight. Investment of capital, to yield its fruit in the future, must be based on expectations, of opportunities in the future. When I put this to Hayek, he told me that this was indeed the direction in which he had been thinking. Hayek gave me a copy of a paper on 'intertemporal equilibrium', which he had written some years before his arrival in London; the conditions for a perfect foresight equilibrium were there set out in a very sophisticated manner.

“In the course of history periods of capitalism and socialism alternate with one another; capitalism is the unnatural, socialism the natural economic system…The National Socialists and the Red Front have the same aspirations. The Jews falsified the Revolution in the form of Marxism and that failed to bring fulfilment.”

Heinrich Himmler (1900–1945) Nazi officer, Commander of the SS

Speech in Potsdam (13 October 1926), quoted in Peter Longerich, Heinrich Himmler (Oxford: Oxford University Press, 2012), pp. 92-93.
1920s

“the most remarkable piece of reading that you may be recommended to take and try if you can study is a book by Goethe—one of his last books, which he wrote when he was an old man, about seventy years of age—I think one of the most beautiful he ever wrote, full of mild wisdom, and which is found to be very touching by those who have eyes to discern and hearts to feel it. It is one of the pieces in "Wilhelm Meister's Travels." I read it through many years ago; and, of course, I had to read into it very hard when I was translating it (applause), and it has always dwelt in my mind as about the most remarkable bit of writing that I have known to be executed in these late centuries. I have often said, there are ten pages of that which, if ambition had been my only rule, I would rather have written than have written all the books that have appeared since I came into the world.”

Thomas Carlyle (1795–1881) Scottish philosopher, satirical writer, essayist, historian and teacher

1860s, On The Choice Of Books (1866)

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