Comparative Analysis of Mechanisms of Schumpeterian Evolution

Agnieszka Lipieta () and Andrzej Malawski
Additional contact information
Agnieszka Lipieta: Cracow University of Economics, Faculty of Finance and Law, Department of Mathematcs
Andrzej Malawski: Cracow University of Economics, Faculty of Finance and Law, Department of Mathematcs

Journal of Entrepreneurship, Management and Innovation, 2018, vol. 14, issue 1, 7-28

Abstract: The paper extends the research program of modeling the Schumpeterian vision of innovatve development in the framework of the Arrow-Debreu theory of general equilibrium. To study changes in the producton sector, as well as in the whole economy, the concept of extension of the systems under study is introduced. It enables us to model the mechanisms of Schumpeterian evoluton in the conceptual apparatus of Hurwicz’s theory of economic mechanisms. The paper is aimed at expanding our previous studies into two new directons. First, we establish the conditons sufcient for improving positons of various groups of agents such as producers, innovators, consumers, etc., under the price or qualitatve mechanism regime. Second, to compare mechanisms of Schumpeterian evoluton, we respect the logic of this process which is determined by innovatve, as well as adaptve, equilibrium changes in the evolving economy under consideraton. Consequently, we formulate two different criteria in our comparatve analysis based, on the one hand, on the index of the distance between two innovatve extensions of the given economic system and, on the other hand, on the increase in wealth of the given set of agents. The motvatons of innovators, and the reason for which innovatons are adopted into the producers’ and consumers’ plans of acton, are also precisely explained in the paper. The results of our theoretcal research can be useful in economic analyses, among others, in the case of the lack of the sufcient access to statstcal data. Due to both the formal conceptual apparatus of the general equilibrium theory and Hurwicz’s approach to the problem of designing economic mechanisms, the paper takes the form of an axiomatc deductve system of mathematcal theorems interpreted in the language of economics.

Keywords: Schumpeterian evoluton; mechanisms; designing mechanisms; Debreu economy (search for similar items in EconPapers)
JEL-codes: D41 D50 O31 (search for similar items in EconPapers)
Date: 2018
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (3)

Downloads: (external link)
http://jemi.edu.pl/uploadedFiles/file/all-issues/v ... e1_2018_Article1.pdf (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:aae:journl:v:14:y:2018:i:1:p:7-28

DOI: 10.7341/20181411

Access Statistics for this article

More articles in Journal of Entrepreneurship, Management and Innovation from Fundacja Upowszechniająca Wiedzę i Naukę "Cognitione"
Bibliographic data for series maintained by Anna Ujwary-Gil ().