This website uses cookies.

By clicking the "Accept" button or continuing to browse our site, you agree to first-party and session-only cookies being stored on your device to enhance site navigation and analyze site performance and traffic. For more information on our use of cookies, please see our Privacy Policy.

  1. Home
  2. Journals
  3. American Economic Review
  4. May 2015
  5. Lessons from Schumpeterian Growth Theory

Lessons from Schumpeterian Growth Theory

Download Full Text PDF

Abstract

By operationalizing the notion of creative destruction, Schumpeterian growth theory generates distinctive predictions on important microeconomic aspects of the growth process (competition, firm dynamics, firm size distribution, cross-firm and cross-sector reallocation) which can be confronted using rich micro data. In this process the theory helps reconcile growth with industrial organization and development economics.

Citation

Aghion, Philippe, Ufuk Akcigit, and Peter Howitt. 2015. "Lessons from Schumpeterian Growth Theory." American Economic Review, 105 (5): 94-99. DOI: 10.1257/aer.p20151067

Additional Materials

JEL Classification

  • B52 Current Heterodox Approaches: Institutional; Evolutionary
  • D20 Production and Organizations: General
  • D40 Market Structure, Pricing, and Design: General
  • L10 Market Structure, Firm Strategy, and Market Performance: General
  • O10 Economic Development: General
  • O41 One, Two, and Multisector Growth Models