It should also be noted (if memory serves) that Hayek presented his paper "The Use of Knowledge in Society" in Schumpeter's seminar at Harvard -- politely leaving out the little section which criticized Schumpeter. Among those in attendance was Paul Samuelson. Schumpeter played an important role in Hayek's turn away from the now mainstream positivism originally inspired by Mach. One of those inspired by positivism and Mach -- Schumpeter's student Paul Samuelson. Greg Ransom