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Deirdre Mccloskey, Kirznerian Growth and The Role of Social Networks

Vincent Geloso

Economic Affairs, 2015, vol. 35, issue 3, 453-463

Abstract: This article expands on the view of Deirdre McCloskey that the economic growth of the Western world since the end of the eighteenth century can be explained by the process of entrepreneurial change as expounded by Israel Kirzner. This article argues that while Kirzner's approach to economic development is indeed fruitful, it should be augmented through the study of social networks, which McCloskey has largely ignored. When social networks are seen in the light of the Kirznerian process of entrepreneurship, they represent an important institution that relays information about the proper identification and perception of opportunities.

Date: 2015
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