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Entrepreneurship and the Economics of the Firm

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The study of entrepreneurship and the study of economic organizing lack contact. In fact,the modern theory of the firm virtually ignores entrepreneurship, while the literature onentrepreneurship often sees little value in the economic theory of the firm. In contrast, weargue in this chapter that entrepreneurship theory and the theory of the firm can beusefully integrated, and that doing so would improve both bodies of theory. Adding theentrepreneur to the theory of the firm provides a dynamic view that the overly staticanalysis of firm organizing cannot support. Moreover, adding the firm to the study of theentrepreneur provides important clues to how we can understand entrepreneurship.

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Nicolai J. Foss, Peter G. Klein, Per L. Bylund

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