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Podnikání a ekonomický rozvoj: jaký je rozdíl mezi neorakouskou a novou institucionální ekonomií?
[Entrepreneurship and Economic Development: What is the Difference Between Austrian and New Institutional Approaches?]

Author

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  • Ladislava Grochová
  • Tomáš Otáhal

Abstract

What is the role of entrepreneurship in economic development from the perspective of neo-Austrian and new institutional economics and what is the difference between these approaches? Neo-Austrian economists claim that economic development is caused by entrepreneurial discovery. New institutional economists argue that structure of incentives determined by the institutional environment provides a guideline for entrepreneurial decision-making. Hence, an institutional environment that rewards rent-seeking does not provide opportunities for economic development. In this paper we offer a comparison of these approaches to show that both entrepreneurial discovery and institutional environment are closely related. Moreover, with the comparison we demonstrate that entrepreneurial decision-making plays more important role in economic development when an institutional change is taken into account.

Suggested Citation

  • Ladislava Grochová & Tomáš Otáhal, 2010. "Podnikání a ekonomický rozvoj: jaký je rozdíl mezi neorakouskou a novou institucionální ekonomií? [Entrepreneurship and Economic Development: What is the Difference Between Austrian and New Institu," Politická ekonomie, Prague University of Economics and Business, vol. 2010(5), pages 623-640.
    • Handle: RePEc:prg:jnlpol:v:2010:y:2010:i:5:id:751:p:623-640
    DOI: 10.18267/j.polek.751
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    References listed on IDEAS

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    More about this item

    Keywords

    new institutional economics; economic development; entrepreneurship; neo-Austrian economics;
    All these keywords.

    JEL classification:

    • B25 - Schools of Economic Thought and Methodology - - History of Economic Thought since 1925 - - - Historical; Institutional; Evolutionary; Austrian; Stockholm School
    • D8 - Microeconomics - - Information, Knowledge, and Uncertainty
    • L26 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - Entrepreneurship
    • O1 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development

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