When an entrepreneur leaves the old unit to create a new venture, he goes through a process of guessing at prices in the future, and also guesses at the rate of profit to use in the spreadsheets for his business plan. Old units provide some base line for these guesses, as far as they relate to...

Recent developments in economics have gone from the recognition of the importance of innovation for growth and the exploration of innovation mechanisms to the incorporation of the results of the previous research into economic models. An important lesson to be drawn from all this research is...