Thursday, September 24, 2009
A distinction between business people (who create things) and financial speculators (who wreak havoc)
“Queen Elizabeth [I] owned silk stockings, The capitalist achievement does not typically consist in providing more silk stockings for queens but in bringing them within the reach of factory girls in return for steadily decreasing amounts of effort…The capitalist process, not by coincidence but by virtue of its mechanism, progressively raises the standard of life of the masses.”
These were the thoughts of Joseph Schumpeter, a Harvard lecturer and namesake of a new business and management section in The Economist.
The Economist picked his name because he saw the way society is affected by business clearly. It's of particular interest to me since I've recently become an MBA candidate at Queen's.
In fact, the very first article in the the Schumpeter section is of great interest to me. It's called The pedagogy of the privileged: Business schools have done too little to reform themselves in the light of the credit crunch. It argues that B-schools could be doing more to ensure graduates are placed to help avert a future crunch.
Personally, I've noticed that a number of cases and examples thrown at me so far were just the kind The Economist is implying I should be exposed to - From contemporary Lehman brothers and Merrill Lynch tales to more dated Orange County and Enron debacles.