The Creative Destruction of Economic Development: The Schumpeterian Entrepreneuer

The subject of the entrepreneur in economic theory has mostly been examined in terms of development. Schumpeter, who argued that the neoclassical economic theory could not explain the powers of the economic change due to its static base, took a different position by arguing the necessity of a dynamic theory. Schumpeter identified the entrepreneur as essential element of the dynamic theory of economic change. To Schumpeter, the major role of the entrepreneur is to realize new combinations or innovations that ensure economic change. The primary objective of this study is to explore the individual (psychological) and leadership (sociological) characteristics of the Schumpeterian entrepreneur, who leads to creative destruction via the new combinations in the capitalist system: to put forth his difference from other economic actors and to demonstrate his role in the future (the collapse) of capitalism.