Douhan, Robin () (Uppsala University) Henrekson, Magnus () (Research Institute of Industrial Economics) Eliasson, Gunnar (Royal Institute of Technology)
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Israel M. Kirzner is the 2006 winner of The International Award for Entrepreneurship and Small Business Research. In this essay, we present and evaluate his main contributions to the economics of entrepreneurship. The focus is on how Kirzner defines the entrepreneurial function. In order to better understand his theory, we posit Kirzner’s notion of an entrepreneur in the Austrian tradition. In so doing we emphasize that this concept opens up different perspectives as compared to the neoclassical theoretical framework. The three areas of economic policy, justice and freedom and economic growth are discussed. We also show why the Kirznerian entrepreneur makes these issues relevant. Perhaps most importantly, Kirzner has made the Austrian School intelligible for non-Austrians. By bridging the chasm between Austrian and mainstream thinking, the crucial role of entrepreneurship and the individual entrepreneur has become visible to a much broader audience.
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Paper provided by Research Institute of Industrial Economics in its series Working Paper Series with number
678.
Length: 19 pages Date of creation: 26 Oct 2006 Date of revision: Publication status: Published in Small Business Economics, 2007, pages 213-223. Handle: RePEc:hhs:iuiwop:0678
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Find related papers by JEL classification: B49 - Schools of Economic Thought and Methodology - - Economic Methodology - - - Other B52 - Schools of Economic Thought and Methodology - - Current Heterodox Approaches - - - Institutional; Evolutionary B53 - Schools of Economic Thought and Methodology - - Current Heterodox Approaches - - - Austrian O31 - Economic Development, Technological Change, and Growth - - Technological Change - - - Innovation and Invention: Processes and Incentives
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