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A Disclosure on A Model of the Entrepreneur-Centered Economy

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  • S.Y. Wu

    (Univ of Iowa)

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    Abstract

    Despite its elegance and beauty, the neoclassical model [see Debreu, 1959] has long been a subject of dissension. Critics of the Model are concerned (for example), with (1) its reticence on the raison d’etre of the firm and the boundary between the firm and market, (2) whether this equilibrium model is capable of dealing with the ever changing market and (3) its ability to discern whether econmic development is driven by technological change or by market extension. The standard neoclassical model’s inability to deal with these issues can be seen readily by reminding the reader how the market economy is perceived by the neoclassical economist.

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    Bibliographic Info

    Paper provided by EconWPA in its series Microeconomics with number 9608002.

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    Length: 0 pages
    Date of creation: 14 Aug 1996
    Date of revision: 26 Aug 1996
    Handle: RePEc:wpa:wuwpmi:9608002

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    1. Philippe Aghion & Peter Howitt, 1990. "A Model of Growth Through Creative Destruction," NBER Working Papers 3223, National Bureau of Economic Research, Inc.
    2. Greiner, Alfred & Hanusch, Horst, 1994. "Schumpeter's Circular Flow, Learning by Doing and Cyclical Growth," Journal of Evolutionary Economics, Springer, vol. 4(3), pages 261-71, September.
    3. Armen A. Alchian & Harold Demsetz, 1971. "Production, Information Costs and Economic Organizations," UCLA Economics Working Papers 10A, UCLA Department of Economics.
    4. Grandmont, Jean-Michel, 1977. "Temporary General Equilibrium Theory," Econometrica, Econometric Society, vol. 45(3), pages 535-72, April.
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