Technical progress and growth since the crisis.

Summary The 2008 crisis has revived doubts about growth and resurrected the debate on secular stagnation, initiated by Hansen in 1938. Particularly in a post-crisis context of zero or very low growth, Schumpeterian theory may seem outdated. However, in this article, we show that it remains a valid framework of thought. We begin by recalling the main highlights of the Schumpeterian model of growth. We then argue that this framework is still relevant for several aspects of growth. In particular, we focus on secular stagnation, structural reforms and the inequality debate. We show that, because of creative destruction, innovation-induced productivity growth is underestimated. Furthermore, we explain why the Schumpeterian framework argues for a complementarity between structural reforms and macroeconomic policy. Finally, we show the positive impact of innovation and creative destruction on social mobility.