ABSTRACT
Economic explanations of the great differences in the wealth of nations have typically focused upon differences in resource endowments, including stocks of physical and human capital and technological knowledge. Much less attention has been paid to the role of entrepreneurial processes in the creation of wealth and to the potential capacity of institutions to promote entrepreneurship. This book takes the view that entrepreneurship is the mainspring of economic growth and development. It is crucially important for the market process and affects firms’ responsiveness to new market conditions, especially the changing requirements of consumers and the strategies of rivals. As a consequence, processes of entrepreneurial discovery have far-reaching effects on the nature, direction and coordination of economic activities.
