The question, especially in the digital age, is how long and under what conditions such a monopoly should be extended.
This link has been bookmarked by 16 people . It was first bookmarked on 11 Feb 2008, by Brian G. Dowling.
-
26 Jan 12
-
14 May 11
-
08 May 11
-
04 May 10
pedro_daltro“Can capitalism survive? No. I do not think it can.” Thus opens Schumpeter’s prologue to a section of his 1942 book, Capitalism, Socialism and Democracy. One might think, on the basis of the quote, that Schumpeter was a Marxist. But the analysis that led
-
10 Sep 08
-
that Leon Walras was the greatest economist of all time.
-
Schumpeter believed that capitalism would be destroyed by its successes. Capitalism would spawn, he believed, a large intellectual class that made its living by attacking the very bourgeois system of private property and freedom so necessary for the intellectual class's existence.
-
led to gales of "creative destruction" as innovations caused old inventories, ideas, technologies, skills, and equipment to become obsolete.
-
-
11 Feb 08
-
Indeed, Schumpeter was among the first to lay out a clear concept of entrepreneurship. He distinguished inventions from the entrepreneur's innovations. Schumpeter pointed out that entrepreneurs innovate, not just by figuring out how to use inventions, but also by introducing new means of production, new products, and new forms of organization. These innovations, he argued, take just as much skill and daring as does the process of invention.
-
Under perfect competition all firms in an industry produced the same good, sold it for the same price, and had access to the same technology. Schumpeter saw this kind of competition as relatively unimportant. He wrote: "[What counts is] competition from the new commodity, the new technology, the new source of supply, the new type of organization... competition which... strikes not at the margins of the profits and the outputs of the existing firms but at their foundations and their very lives."
-
Add Sticky NoteMost economists accept the latter argument and, on that basis, believe that companies should be able to keep their production processes secret, have their trademarks protected from infringement, and obtain patents.
-
-
Public Stiky Notes
Would you like to comment?
Join Diigo for a free account, or sign in if you are already a member.