The Free-Market Innovation Machine: Analyzing the Growth Miracle of Capitalism

Book Description

Why has capitalism produced economic growth that so vastly dwarfs the growth record of other economic systems, past and present? Why have living standards in countries from America to Germany to Japan risen exponentially over the past century? William Baumol rejects the conventional view that capitalism benefits society through price competition--that is, products and services become less costly as firms vie for consumers. Where most others have seen this as the driving force behind growth, he sees something different--a compound of systematic innovation activity within the firm, an arms race in which no firm in an innovating industry dares to fall behind the others in new products and processes, and inter-firm collaboration in the creation and use of innovations.

While giving price competition due credit, Baumol stresses that large firms use innovation as a prime competitive weapon. However, as he explains it, firms do not wish to risk too much innovation, because it is costly, and can be made obsolete by rival innovation. So firms have split the difference through the sale of technology licenses and participation in technology-sharing compacts that pay huge dividends to the economy as a whole--and thereby made innovation a routine feature of economic life. This process, in Baumol's view, accounts for the unparalleled growth of modern capitalist economies. Drawing on extensive research and years of consulting work for many large global firms, Baumol shows in this original work that the capitalist growth process, at least in societies where the rule of law prevails, comes far closer to the requirements of economic efficiency than is typically understood.

Resounding with rare intellectual force, this book marks a milestone in the comprehension of the accomplishments of our free-market economic system--a new understanding that, suggests the author, promises to benefit many countries that lack the advantages of this immense innovation machine.

Customer Reviews:

Packed with Knowledge!.......2004-05-19

This book should certainly be on every businessperson's reading list, and every legislator's, and every student's. It is a lucid, well-organized and admirably logical presentation of the role of innovation in capitalism, and the role of capitalism in innovation. Author William J. Baumol accomplishes something rare indeed by spanning the chasm between quantitative and qualitative economic writing. He has the verbal skill to write clearly and accessibly, explaining his points in plain if elevated and austere language, and illustrating them with interesting historical examples. His rigorous mathematical demonstration would satisfy the most demanding academic economist. Baumol's insight that capitalism's great achievement is to make innovation routine distinguishes this book from others on innovation, entrepreneurship and creativity. Although the lone inventor matters, ancient Rome and China had lone inventors and yet those empires did not produce economic growth on the scale that capitalism has produced it. Capitalism is distinctly productive because it makes innovation a self-sustaining and indispensable phenomenon, driving and driven by competition. We find this intriguing thesis well worth serious consideration.

Good Book on Necessity of Institutional Rules.......2003-09-04

"The thesis of William J. Baumol's latest book is articulated clearly at the start. The free-market growth engine depends ultimately on institutional rules. People may have a natural entrepreuneurial instinct, but that instinct can find outlet in criminal, rent-seeking, or other destructive activities as easily as in productive venues. Economic growth depends, however, on more than just rules and norms that channel such inclinations in the "right" direction. It depends also on rules governing the appropriation of intellectual property and on the precise trade-off a society makes between pricing information at its marginal cost (making it free) and providing incentives for invention and innovation by creating rules to allow appropriobility for fixed periods of time. We call this body of rules patent, copyright, and, in general, intellectual property law (although, as Baumol argues, antitrust is also relevant). The dilemma is that in the absence of such protection there are few private incentives for producing new information or discoveries, but in the presence of such protection we impose monopoly pricing and, consequently, static efficiency losses."

"The first section of the book, devoted to the "capitalist growth mechanism," is the most interesting. Here Baumol develops his vision of a capitalist economy as consisting of competitive price-taking sector and an oligopolistic sector in which competition occurs more often on the innovation margin rather than on the price margin. The pharmaceutical and computer industries are cases in point. This oligopolistic sector is the economy's engine of growth. Firms here must innovate or they die; they also must price discriminate or die because the heavy fixed costs of innovation cannot be covered if everyone pays a price equal to marginal cost. These costs must be recouped in the same way that railroads were forced to price discriminate to cover their fixed costs for rolling stock and permanent way. Baumol cautions antitrust authorities against jumping to the conclusion that departures from marginal-cost pricing are necessarily evident of monopoly power."

Book Description

This digital document is an article from Independent Review, published by Independent Institute on March 22, 2003. The length of the article is 1696 words. The page length shown above is based on a typical 300-word page. The article is delivered in HTML format and is available in your Amazon.com Digital Locker immediately after purchase. You can view it with any web browser.

Citation Details
Title: The Free Market Innovation Machine: Analyzing the Growth Miracle of Capitalism.(Book Review)
Author: Alexander J. Field
Publication: Independent Review (Refereed)
Date: March 22, 2003
Publisher: Independent Institute
Volume: 7 Issue: 4 Page: 623(4)

Article Type: Book Review

Distributed by Thomson Gale

Book Description

Book Info A guide to better communication skills using the trademark persuasion style of famous playright, William Shakespeare. Takes examples from Shakespeare's characters and plays to illustrate the qualities and skills an excellent communicator must have, helping readers empower themselves to be more effective in front of an audience, as part of a team, or one-on-one.

Customer Reviews:

A different approach to business speaking.......2004-10-17

I picked this book because of my love of Shakespeare. I was pleasantly surprised at how the author is able to relate the wordsmithing of Shakespeare to modern business communications. He presents each topic in a thoughtful, enjoyable to read manner.

I continue to refer to this book in my work. I have recommended it to several of my staff and co-workers. I think its a valuable addition to any business communication library.

The Bard for All Occasions.......2004-01-24

Tom Leech's book, "Say It Like Shakespeare" is an absolute gem - and definitely a keeper. In the short time in which I've owned the book, I have used it in lectures, classes, and even social occasions. Surely Shakespeare himself must be delighted to know his words ring true for so many instances in this 21st century. This wonderful book shall have a place of honor among the reference books I use most often. However, this is the only one that continually amuses, confounds, and inspires. I certainly hope that Mr. Leech will soon be publishing more.

So much for Shakespeare.......2003-07-29

I read this book with much anticipation, excited to see how the author was going to link Shakespeare's works with communication skills. I must say that I was sorely disappointed.

As an active Toastmaster of 3 years and an avid reader of various communication books, I feel there is nothing new worth learning from this book.

1. Most points are obviously emulating the Toastmasters basic project manual or basically any other ordinary communications book that you can pick off a shelf in any bookstore. Points brought up mention stuff like speech organisation, sincerity, body language and vocal variety. That is fine if these points had been elaborated in more detail rather than sweepingly carried across. This makes the book feel more like a teaser on various communication techniques - just a teaser - meaning no real content, just words to trigger your interest (that is, if you are a complete novice AND not a Toastmaster).

2. I was wondering how the book would link its contents to Shakespeare. What happened was that the author simply peppered LOTS of quotes from various Shakespearean works throughout every page, and I mean a LOT. What makes it more disappointing is that the meaning behind the quotes are never really explored in detail as to how it could possibly give us some lessons in communicating well. In that retrospect, this book violates the very essence of good communication skills - Purposeful Actions. The author did the action of putting lots of quotes in, just so that this book could be hyped as the "Say it like Shakespeare" book. Unfortunately, since these quotes were not properly weaved into the content, nor were proper lessons that readers could learn from these quotes identified or highlighted adequately, these quotes tend to stuck out like a sore thumb in the book AND became part of UNPURPOSEFUL content.

3. As mentioned earlier, the content being more of a teaser, just informs but doesn't help you in any way of application. Plus you tend to question its credibility cos of its vagueness in explanation and its content being the sort of content that you can even pick off freely from any Internet site.

My conclusions are:
1. If you are a complete beginner and just want to KNOW (but not understand nor apply) what is supposed to be touted as common good communication practices, read this book.

2. If you have some experience in public speaking, and/or have read many communication mantras already, give this book a miss - you will find that you can reap nothing new in terms of knowledge for this.

3. If you are a strategist interested in seeing how Shakespeare can be a useful tool in teaching you good communication skills - just like how some people are interested in how Sun Tzu's military strategies can be applied to business - forget this book. You'll only be greeted with numerous quotes of Shakespeare WITHOUT explanations or links.

A Practical Guide to Communicating in the Business World.......2001-07-26

Mr. Leech's book is GREAT!. His writing style is so concise, practical and easy to understand. Using quotes from Shakespeare just adds to the enjoyment of reading this book. The information is very valuable for any one in any type of organization. I was VERY IMPRESSED! It is full of great ideas and tips on how to handle any communications situation in a business setting. Being a professional in the communications field, I wish I had read this material years ago.

A Practical Guide to Communicating in the Business World.......2001-07-26

Mr. Leech's book is GREAT!!!!. His writing style is so concise, practical and easy to understand. Using quotes from Shakespeare just added to the enjoyment of reading this book. The information is very valuable for any one in any type of organization. I was VERY IMPRESSED!!!! It is full of great ideas and tips on how to handle any communications situation in a business setting or actually any organization. Being a professional in the communications field, I wish I had read this material years ago.

Say It Like Shakespeare: How to Give a Speech Like Hamlet, Persuade Like Henry V, and Other Secrets From the World's Greatest Communicator

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Say It Like Shakespeare: How to Give a Speech Like Hamlet, Persuade Like Henry V, and Other Secrets From the World's Greatest Communicator
Thomas Leech
Manufacturer: McGraw-Hill
ProductGroup: Book
Binding: Paperback
ASIN: B000OFS9MC

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How to Form Your Own Ohio Corporation Before the Inc. Dries! : A Step-By-Step Guide, With Forms (Small Business Incorporation, Vol 2) (How to Incorporate ... (Small Business Incorporation, Vol 2)
Phillip G. Williams
Manufacturer: P Gaines Co
ProductGroup: Book
Binding: Paperback

Legal Guides | Small Business & Entrepreneurship | Business & Investing | Subjects | Books
General | Law | Subjects | Books
Private Law | Law | Subjects | Books
ASIN: 0936284412

Book Description

A complete incorporation kit under one cover, the book contains a detailed blueprint with all forms and instructions necessary to incorporate a new or already existing business in Ohio. This guide covers Ohio profit corporations, Ohio professional corporations, Ohio not-for-profit corporations, Subchapter S corporations, and Delaware corporations. It explains in clear and simple language how to use the corporation as a tax shelter; how to limit personal liability through the corporate form; how to obtain tax-free dividends, receive tax-free medical services and health and life insurance benefits; and how to retire with maximum pension benefits. The Appendices include all needed Ohio incorporation forms, gold leaf stock certificates, sample bylaws (not generic ones, but ones conforming to Ohio law), and sample minutes for the initial organizational meetings of the directors and shareholders.

How to Form Your Own Ohio Corporation Before the Inc. Dries: With Disk : A Step-By-Step Guide With Forms (How to Incorporate a Small Business Series, V. 2)

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How to Form Your Own Ohio Corporation Before the Inc. Dries: With Disk : A Step-By-Step Guide With Forms (How to Incorporate a Small Business Series, V. 2)
Phillip G. Williams
Manufacturer: P. Gaines Publishing Company
ProductGroup: Book
Binding: Paperback

General | Administrative Law | Law | Subjects | Books

Corporate Law | Business | Law | Subjects | Books

General | Law | Subjects | Books

Private Law | Law | Subjects | Books

jp-unknown2 | Specialty Stores | Books
ASIN: 0936284420

Book Description

This is a completely updated edition of How to Form Your Own Ohio Corporation Before the Inc. Dries! This new edition completely revises the state and federal tax information pertaining to incorporation in the state of Ohio and now includes a floppy disk with copies of the Ohio incorporation forms. The book is a step-by-step blueprint for incorporation in the state of Ohio, with authoritative discussion of the pros and cons of incorporation, and all needed forms appended.

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Pitman Business English 1: Clerical: Teacher's Key
Susan Davies , and Richard West
Manufacturer: Financial Times Prentice Hall (a Pearson Education company)
ProductGroup: Book
Binding: Paperback

Running Meetings & Presentations | Skills | Business & Investing | Subjects | Books
General | Foreign Languages | Reference | Subjects | Books
ASIN: 027301787X

Book Description

Fed up with the old "one-size-fits-all" workweek? Do you want more time for family, friends, education, travel, or recreation? Do you want a work schedule that is customized to fit your life - and not the other way around?

A comprehensive guide to the flexible workplace, Put Work in Its Place is a practical, and often humorous handbook explaining the features of job sharing, flextime, V-time, phased retirement, and other alternatives to the conventional nine-to-five grind. Included are detailed suggestions to help you convince your employer that putting work it its place is in everyone's best interest.

Book Description

"If you're this successful doing work you don't love, what could you do with work you do love?"

If you've ever wanted your own personal mentor, champion of your gifts, advocate for your dreams...your support system has arrived. As an accomplished alternative career coach and one who has "walked the walk," Tama J. Kieves now shares the inspiring wisdom she has taught for years in her well-loved workshops. Examining each fear from the inside out with wicked humor and cutting authenticity, the author takes the ideal of doing work you love into living, breathing, and "telling your mother" actuality. Through practical stories of overcoming insecurities, Tama J.Kieves shares her journey of leaving behind life as a corporate lawyer to rediscover her buried creative self, write, and develop a soul-inspired livelihood. Imbued with an intoxicating and intimate writing style, This Time I Dance! can convince you, even if you're cynical, to uncover and live your ultimate dreams and trust your amazing adventure.

Customer Reviews:

A big disappointment.......2006-10-27

I was craving for a book that is what this book says it is. If you are, too, I strongly recommend that you give another book a chance and do not waste your money on this one. It's not that the author gives bad advice - the advice is good. But, she just doesn't say much in 200 pages. She says the same thing in 100 different ways, then repeats those again. Chapters are very short, each paragraph is separated with a line or two of space and the font is big. This is all clearly the publisher's trick to extend this book to appear much longer than it should be.
But it is also the content that I disliked. I disliked it so much, I actually skipped about 50 pages towards the end and just jumped to the last chapter to see if I would miss anything - I didn't. Her writing style is more like a transcript of a motivational talk...a motivational talk to a room of children is more like it. She uses rhyming and illiteration constantly, and too many immature adjectives, adverbs and metaphors. Maybe it's just a style that I don't like and you will, but this book is about having trust in yourself enough to leave your current lucrative job to follow your dreams. For something so important, I need to respect the source, and I find it impossible with this author.
Originally, I gave this book some weight because it is written by a woman who is a Harvard law grad and had a great career. But upon reading the book, she really appears to have little intelligence in writing in a way that others can connect to and respect. How can I take this kind of momentous advice from a woman who writes in a 'sing-song' way like she's talking to her 7-yr old niece? And, to boot, writing was HER dream -- if I follow my dream, will I be only mediocre, too?
This review sounds harsh, but I just felt I had to get this review up here since I listened to the other reviews then was completely disappointed. No doubt, this topic is VERY important and if you are thinking of reading about it - GO FOR IT! But I recommend going to someone else to hear what you need to hear.

Best of its kind!.......2003-11-30

Like having a good friend at hand. This articulate, experienced, account travels with me whenever I go to contemplate. For career-changers, mid-lifers, artists, looking for new dimensions, just looking for a breath of fresh air seekers! This single text could replace the entire self-help section! Well worth the time and a place you will re-visit again and again.

This Time I Dance.......2003-05-14

Filled with quotes from her personal journal and splashes of lavender, this book is truly marvelous! Tama tackles head-on the "yes, buts...", "the I can't becauses...", and the other typical blocks to making successful life transitions. I found familiarity in her words, both my own and those of clients. Leave a job without a plan? Yes, proclaims the author, how else are you going to have the energy to follow your path if you are exhausted just getting through the workday? "You will engage the totality of your intelligence to find a means to succeed instead of to tally up and analyze the many ways you could fail."

Unlike other books I've read on the subject of:" finding and doing the work you love", this one encourages the reader to simply trust their inspired yearnings and yield to their inner knowing. Rather than follow a step-by-step process (like so many self help books recommend) Tama suggests you allow yourself time to let the path unfold before you. "..we only tend to find our mission once we take an intermission from the work life that doesn't work." As one who took an "intermission" to pursue my dreams, this book totally re-affirms my path. I recommend it to anyone who has felt "inklings" that there is a way to realize authentic, meaningful work.

She Really Inspires Me.......2003-02-25

This Time I Dance! is absolutely inspirational.

It is not a how-to, but I learned a *lot* about How To. I thought I had read all there was to read about how to do what I love for a living and earn what I deserve and live long and prosper. I have read maybe 25 books or more on the subject.

Tama simply tells her own story in a way that inspires me to live *my* story. Listening to her story makes me feel that I can do this, too. It was obviously written with much love and caring.

DANCE WITH TAMA! READ THIS BOOK AND TRUST...........2002-08-01

I LOVE THIS BOOK! This Time I Dance is both an intimate personal journal and mentoring series of empowering lessons for the dissatisfied worker bee or the burdened professional. This book is for the lonely "closet creative" seeking an experienced coach and walking companion on a path to a more passionate and fearless expression of livelihood. Written with a full array of delicious imagery and savory, insightful prose and laced with inspiriting quotes from well-known fellow travelers, "This Time I Dance" is nothing less than magical. It exposes and celebrates every inner voice begging to be heard amidst the clatter of conformity -- from its deepest vulnerability to its most passionate vision. Through her own story, Tama effectively expresses the imminent joy ready to be birthed in the soulful, pregnant cry for unique self-expression in a society drunk with educational elitism, materialism and mediocre uniformity. With cheers, tears and jeers, Tama took me and can take you on an extraordinary journey of courageous aspiration into true "life-lihood." This is the bible for the creative soul longing for self-expression....it is a journey of faith and trust...I know this personally as a corporate transactional attorney who has a double life as a "creative..."

Book Description

In a conversational style that is easy to understand and apply, this volume provides readers with an understanding of the legal details associated with successful estate planning. Now in its Third Edition, it covers such areas as wills, the probate process, trusts and their uses in estate planning, property ownership, the special needs of the disabled, and others. Ideal for Financial Planners, Estate Planning Practitioners, Attorneys, Trust Officers, Life Insurance Agents, and anyone involved in tax calculations.

Estate Planning: For July 2006 Through March 2007 Exams (Kaplan Review for the CFP Certification Examination)

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Estate Planning: For July 2006 Through March 2007 Exams (Kaplan Review for the CFP Certification Examination)

Manufacturer: Kaplan
ProductGroup: Book
Binding: Paperback
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ASIN: 1419585541

Estate Planning (Certified Financial Planner Professional Education Program, Student Guide, Stock # 2329)

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Estate Planning (Certified Financial Planner Professional Education Program, Student Guide, Stock # 2329)

Manufacturer: College for Financial Planning
ProductGroup: Book
Binding: Spiral-bound
ASIN: B000EHVIUU

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