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Entrepreneurial Behavior and the Development of Trading Institutions: An Analytical Approach

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  • Karen A. Campbell
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    Abstract

    This paper makes explicit the role of the entrepreneur in a consumer-producer economy. Entrepreneurial behavior changes the status quo by altering existing comparative advantages. A positive feedback effect with trading institutions ensues. This model shows how the entrepreneur can, when successful, create economic growth but if unsuccessful, can contribute to an economic contraction. Using our theoretical approach, propositions are generated that explain empirical observations of entrepreneurship. This framework offers a tool for future analytical and empirical investigations into entrepreneurship in a systematic way.

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    Bibliographic Info

    Article provided by Mohr Siebeck, Tübingen in its journal Journal of Institutional and Theoretical Economics.

    Volume (Year): 165 (2009)
    Issue (Month): 3 (September)
    Pages: 487-507

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    Handle: RePEc:mhr:jinste:urn:sici:0932-4569(200909)165:3_487:ebatdo_2.0.tx_2-s

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    Cited by:
    1. William Stull, 2014. "Taking the Plunge: Teaching the Microeconomics of Entrepreneurship," International Advances in Economic Research, Springer, vol. 20(2), pages 139-150, May.
    2. Dunkelberg, William & Moore, Carmen & Scott, Jonathan & Stull, William, 2013. "Do entrepreneurial goals matter? Resource allocation in new owner-managed firms," Journal of Business Venturing, Elsevier, vol. 28(2), pages 225-240.

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