Capitalism, Socialism and Democracy

The political philosophy which rejects the moral legitimacy of state authority over individuals. Anarchists have also often advocated violent revolution to overthrow states.

In Marxist terminology, the class of people who own the means of production and therefore constitute the capitalist class. This is also how Schumpeter uses it in the text.

The social and economic system in which the means of production are owned privately, and in which workers sell their labor to owners for wages. More specifically, it also refers to a system, in contrast to Feudalism, where capital is continually reinvested to create more capital.