contextualizes and contrasts it with the earlier division-of-labor/specialization theory of the firm that Coase challenged and sought … to replace. The simulation tests firm emergence by targeting the difference between the theories, especially Coase …’s rejection of specialization as an explanation for integration in the firm. The results show little support for, and suggest a …

has been marginalized in economic theory because it doesn't fit into neoclassical models. Using agent-based simulation (in …Adam Smith thought the key to raising productivity was specialization and the division of labor, but this explanation … special case where population and capital previously sufficed to exhaust the scope for productivity-enhancing specialization …