Drucker grew up in what he referred to as a "liberal" Lutheran Protestant household in Austria-Hungary. His mother Caroline Bondi had studied medicine and his father Adolf Drucker was a lawyer and high-level civil servant. Drucker was born in Vienna, Austria, in a small village named Kaasgraben (now part of the 19th district of Vienna-Döbling). He grew up in a home where intellectuals, high government officials, and scientists would meet to discuss new ideas. These included Joseph Schumpeter, Friedrich Hayek and Ludwig von Mises. Hans Kelsen was his uncle.