Dynamic Economics

Adam Smith advances aircraft airline airplane alternatives assume automobile industry Bayesian probability become Boeing British Burns and Stalker business firms cars Chrysler classical economic companies competitive interaction competitors concept cost countries deal with uncertainty decline degree of competitive degree of constraint degree of dynamic degree of openness degree of uncertainty dilemma diversity Douglas dynamic competition dynamic efficiency economic economists engage in risk-taking engine entrepreneur environment example fast history favor Ford high degree higher highly ideas incentives increase Industrial Revolution inflation internal internal-combustion engine involved labor unions less ment microstability Model Moreover Motors optimized organization percent perfect competition Phillips curve pioneering played predictable probability theory problem productivity gains rate of progress rational regulation research and development revolutions rivalry role Schumpeter skunkworks slow history society stability static efficiency sure tion trade-off unemployment United unpredictable wage and price World War II