W8 Assignment Example | Topics and Well Written Essays - 500 words

W8 - Assignment Example The author further asserts that such profits disappear after the competitors copy the innovations. The system swallows up ideas and changes them into a well-digested fodder for everyday productivity. He therefore, calls the introducers of these changes entrepreneurs, the business trailblazers or risk takers. He also noted that competition always forced down the prices leading to the ultimate disappearance of profits. He describes entrepreneurs as talented specialists who differ from politicians or military leaders as the society treats them as social pariahs or upstarts. They, therefore, reside outside the limelight, fond of dynasties and are not motivated by riches or titles. As the economy grows to complexity, senior managers are faced with uncertainties. Frank Knight pointed out that risk and uncertainties are different. His thesis stated that entrepreneurs are better at peering into the improbability that does not mean that they are efficient since it can neither be observed nor quantified. His argument rested in uncertainty, not efficiency. Knight argues from an abstract concept of uncertainty. His theory could be improved by minimizing contracting and supervisory cost to create efficacy. Schumpeter’s driving force is his accolade to the talented few. Another intriguing possibility is that he imbued with elitist notions that have created this paradigm as a means of self-glorification. He sees himself as the swami of elitism. He begs the question of economics by reducing it to one quibble: Do economists merely compartmentalize the facts about life the way we know it, or they serve as visionaries? Is economic function analytical or predictive? He opted to lay out a vision for the future generations rather than being mundane with money matters. He produced a passionate interest in the captains of industries. Schumpeter’s argues that