"In all cases, not only in the two which we have analyzed, recovery came of itself. There is certainly this much of truth in the talk about the recuperative powers of our industrial system. But this is not all: our analysis leads us to believe that recovery is sound only if it does come of itself. For any revival which is merely due to artificial stimulus leaves part of the work of depressions undone and adds, to an undigested remnant of maladjustment, new maladjustment of its own which has to be liquidated in turn, thus threatening business with another crisis ahead. Particularly, our story provides a presumption against remedial measures which work through money and credit. For the trouble is fundamentally not with money and credit, and policies of this class are particularly apt to keep up, and add to, maladjustment, and to produce additional trouble in the future."
Quote Details
Added by wikiquote-import-bot
Unverified quote
0 likes
Politicians from AustriaAcademics from AustriaGovernment ministersFinance ministersEconomists from Austria
Original Language: English
Available Languages (1)
Revision History
No revisions have been submitted for this quote.
Categories
Joseph Schumpeter
Joseph Alois Schumpeter (February 8, 1883 – January 8, 1950) was an economist from Austria and an influential political scientist.
41 quotes on TrueQuotesView all quotes by Joseph Schumpeter →
Related Quotes
"When ae door steeks anither opens."
"This civilization is rapidly passing away, however. Let us rejoice or else lament the fact as much as everyone of us …"
"Only a few people have these qualities of leadership and only a few in such a situation, that is a situation which is…"
"When we inquire about the general forms of economic phenomena, about their uniformities, or about a key to understand…"
"The innovation is hazardous, impossible for most producers. But if someone establishes a business having regard to th…"
"Why do entrepreneurs appear, not continuously, that is singly in every appropriately chosen interval, but in clusters…"
"Gentlemen, you are worried about the depression[sic]. You should not be. For capitalism, a depression is a good, cold…"
"Since as we have seen the entrepreneurial qualification is something which, like many other qualities, is distributed…"
"Many things may be copied by the latter; the example as such also acts upon them; and many achievements directly serv…"
"The first thing a man will do for his ideals is lie."