Every entrepreneurial action changes the economy.  This process is undertaken with the expectation of a return.  This doesn’t mean there’s always a positive return.  However, there’s always the expectation of profit.  The action wouldn’t be taken if he didn’t think he’d profit.  He believes there’s an underserved area of the market.  Change must take place to serve that area.  The market rewards efficiency and penalizes inefficiency.

The entrepreneur will only earn profit if he correctly judges the demand of the market.  He will suffer losses if he incorrectly judges demand.  “If he is a consistent loser…he is driven out of the entrepreneurial role altogether.”  Money doesn’t make money.  One must make wise decisions.  Profits will only come if you correctly serve the market.  That is, you must anticipate the demands of the masses.

It’s all too common for people to complain about the market.  Why didn’t these complainers fill the gap in demand?  The complainer would have earned the profits.  I’m sure he wouldn’t be complaining if he earned the profits.  If goods are overpriced, why don’t you start a company and sell them for cheaper?  As the saying goes: wish in one hand, shit in the other, see which fills up first.  Complaining is easier than doing.

New technology doesn’t remove jobs.  There is a process known as creative destruction.  New technology can get rid of a certain job.  However, this will free them up to serve the market in other areas.  The standard of living will be improved.  A certain job may no longer exist, but there wasn’t a net decrease in the number of jobs.  Statists have been saying technology will steal jobs for hundreds of years.  This has been proven incorrect, but it still gets repeated ad nauseam.

Change must happen in the economy for progress.  Progress can’t happen under a static economy.  A static, or regressing economy, is just what statists want.  Saving is a necessary condition for change.  The economy can’t progress unless there is savings.  That money is then reinvested to improve our standard of living.  Investment can’t happen under constant consumption.  Capital will only be consumed at that point.

Reference

Murray Rothbard; Man, Economy, and State