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An Entrepreneurial Theory of the Firm

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Traditional theory of the firm has concentrated on such topics as technology, evolution and transaction costs whilst failing to account for one of the most fundamental aspects of the market process: entrepreneurial activity. Using an approach consistent with the modern Austrian School, Frederic Sautet has developed the open-ended theories initiated by Hayek and Mises to bring a fresh perspective to conventional economic theory. An Entrepreneurial Theory of the Firm

makes a thorough and comprehensive enquiry into the nature of the of the relationship that exists between firms and markets, with separate, in-depth explorations pf the issues of both the existence and inner organisations of the firm. Sautet develops a model that explains the emergence of the firm in the market process as the result of entrepreneurial activity in the context of genuine uncertainty. The Austrian angle enables him to provide a theory that is both alternative and complementary to established view points. This original, provocative work offers a thorough and convincing theory that encompasses a wealth of existing literature and leads it in an entirely new direction. It will inspire and be of great interest to economic scholars, particular within the fields of Austria economies and theory of the firm.