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A Schumpeterian theory of underdevelopment - a contradiction in terms?

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Abstract

The aim of this paper is to show that the dynamics of Schumpeterian economics, in addition to explain the creation of wealth, also implicitly contain the elements of a theory of relative poverty. It is argued that the German tradition of economics, of which Schumpeter is a part, has always encompassed the necessary elements of a theory of uneven growth. List, Marx, and Schumpeter have all emphasized different aspects of this uneven growth. This contrasts sharply with the Anglo-Saxon tradition which, particularly since the 1890's, has produced theories of growth and trade which imply an even, converging distribution of world activity and income.

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  • Erik S. Reinert, "undated". "A Schumpeterian theory of underdevelopment - a contradiction in terms?," STEP Report series 199415, The STEP Group, Studies in technology, innovation and economic policy.
  • Handle: RePEc:stp:stepre:1994r15
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    File URL: http://www.step.no/reports/Y1994/1594.pdf
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    References listed on IDEAS

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    1. Reinert, Erik S., 1995. "Competitiveness and its predecessors--a 500-year cross-national perspective," Structural Change and Economic Dynamics, Elsevier, vol. 6(1), pages 23-42, March.
    2. Krugman, Paul R., 1979. "Increasing returns, monopolistic competition, and international trade," Journal of International Economics, Elsevier, vol. 9(4), pages 469-479, November.
    3. Avinash Dixit, 1993. "In Honor of Paul Krugman: Winner of the John Bates Clark Medal," Journal of Economic Perspectives, American Economic Association, vol. 7(2), pages 173-188, Spring.
    4. Paul M. Romer, 1994. "The Origins of Endogenous Growth," Journal of Economic Perspectives, American Economic Association, vol. 8(1), pages 3-22, Winter.
    5. Krugman, Paul, 1981. "Trade, accumulation, and uneven development," Journal of Development Economics, Elsevier, vol. 8(2), pages 149-161, April.
    6. Verspagen, Bart, 1992. "Endogenous innovation in neoclassical growth models: A survey," Journal of Macroeconomics, Elsevier, vol. 14(4), pages 631-662.
    7. Ure, Andrew, 1835. "The Philosophy of Manufactures, or an Exposition of the Scientific, Moral and Commercial Economy of the Factory System of Great Britain," History of Economic Thought Books, McMaster University Archive for the History of Economic Thought, number ure1835, December.
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    Cited by:

    1. Ioanna Boulouta & Christos Pitelis, 2014. "Who Needs CSR? The Impact of Corporate Social Responsibility on National Competitiveness," Journal of Business Ethics, Springer, vol. 119(3), pages 349-364, February.
    2. Diego Sánchez-Ancochea, 2005. "Capitalismo, desarrollo y Estado. Una revisión crítica de la teoría del Estado de Schumpeter," Revista de Economía Institucional, Universidad Externado de Colombia - Facultad de Economía, vol. 7(13), pages 81-100, July-Dece.
    3. Igor Pilipenko, 2005. "Clusters and Territorial-Industrial Complexes - Similar Approaches or Different Concepts? - first Evidence from Analysis of Development of Russian Regions," ERSA conference papers ersa05p70, European Regional Science Association.

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    JEL classification:

    • B0 - Schools of Economic Thought and Methodology - - General
    • N1 - Economic History - - Macroeconomics and Monetary Economics; Industrial Structure; Growth; Fluctuations
    • O1 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development

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