Microtheory of Entrepreneurship: More Exists than is Recognized

Abstract

To amend a standard bon mot, entrepreneurship is known to play a critical role in reality, leaving economists concerned whether it fits into the theory. The answer, I will argue here, is that it not only fits prospectively, but that the theory already exists and does much of what is done for the other inputs of the production process via the theory of distribution and the theory of production.

Citation

Baumol, W.J. (2005), "Microtheory of Entrepreneurship: More Exists than is Recognized", Vinig, G.T. and Van Der Voort, R.C.W. (Ed.) The Emergence of Entrepreneurial Economics (Research on Technological Innovation, Management and Policy, Vol. 9), Emerald Group Publishing Limited, Leeds, pp. 27-35. https://doi.org/10.1016/S0737-1071(05)09002-5