IDEAS home Printed from
   My bibliography  Save this article

Entrepreneurship and Progress: The Need for a Greater Integration of Kirzner's and Hayek's Insights


  • Garello Pierre

    (Université d’Aix Marseille)


To improve on the argument presented by classical economists, many authors have tried to rely as much as possible on a value-free approach. In this paper, reasons to reject the propositions made by neoclassical economists are briefly recalled. We then turn toward Kirzners proposition which is to evaluate a policy, or a rule, according to the extent to which it promotes coordination. This proposition, however, must also be rejected because, if it introduces some dynamics in the picture, it is a dynamics towards equilibrium, while real life, entrepreneurial dynamics can either be towards coordination or discoordination. Coordination is not monotonously linked to progress. It therefore appears preferable to rely on Hayeks notion of order; a notion specifically designed to allow progress to take place, while maintaining a satisfactory level of coordination. For such an order to prevail, any rule or policy deliberately introduced must be compatible with the existing order, that is, it must protect legitimate expectations. Following a reflection on the definition of legitimacy we then reach the conclusion that the quest for a value-free welfare economics is lost, and that even the quest for a value-free economics will have, in a certain sense, to be left, or at least reconsidered.Afin daméliorer largument présenté par les économistes classiques, beaucoup dauteurs ont essayé de se reposer autant que possible sur une approche sans jugements de valeur. Dans cet article, nous rappelons brièvement les raisons de rejeter les propositions faites par les économistes néoclassiques. Nous nous tournons donc vers la proposition de Kirzner qui est dévaluer une politique, ou une règle, par rapport à la manière dont elle promeut la coordination. Cependant, cette proposition doit aussi être rejetée car si elle introduit une dynamique dans lanalyse, cest une dynamique du côté de léquilibre, alors que dans la vie réelle, la dynamique entrepreneuriale peut initier plus de coordination ou plus de discoordination. La coordination nest pas liée de manière monotone au progrès. Il apparaît aussi préférable de se rattacher à la notion dordre de Hayek, notion construite précisément pour permettre au progrès davoir lieu, tout en maintenant un niveau satisfaisant de coordination. Pour quun tel ordre existe, toute règle ou politique délibérément introduite doit être compatible avec lordre existant, cestà- dire, quelle doit protéger les anticipations légitimes. Après une réflexion sur la définition de légitimité, nous arrivons à la conclusion que la quête dune science économique du bien-être sans jugement de valeur est un échec, et que la quête dune science économique sans jugement de valeur doit être, dans un certain sens, abandonnée ou au mieux reconsidérée.

Suggested Citation

  • Garello Pierre, 2002. "Entrepreneurship and Progress: The Need for a Greater Integration of Kirzner's and Hayek's Insights," Journal des Economistes et des Etudes Humaines, De Gruyter, vol. 12(2), pages 1-19, June.
  • Handle: RePEc:bpj:jeehcn:v:12:y:2002:i:2:n:3

    Download full text from publisher

    File URL:
    Download Restriction: For access to full text, subscription to the journal or payment for the individual article is required.

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    1. Young, Allyn A., 1928. "Increasing Returns and Economic Progress," History of Economic Thought Articles, McMaster University Archive for the History of Economic Thought, vol. 38, pages 527-542.
    2. Kaldor, Nicholas, 1972. "The Irrelevance of Equilibrium Economics," Economic Journal, Royal Economic Society, vol. 82(328), pages 1237-1255, December.
    Full references (including those not matched with items on IDEAS)

    More about this item


    Access and download statistics


    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:bpj:jeehcn:v:12:y:2002:i:2:n:3. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Peter Golla). General contact details of provider: .

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.