Innovation Commons: The Origin of Economic Growth [Hardback]

The way in which he explains the emergence of new industries by integrating the topic of innovation with a theory of social cooperation structured by rules is masterful. * Erwin Dekker, Journal of Cultural Economics * Everyone agrees that innovation drives the transformation of modern economies. But Jason Potts will ruffle feathers with his fascinating and well-researched account of the origins of innovation itself. Against the statist left he points to the limits of state-led innovation. Against the individualist right, he argues that innovation begins not by heroic individuals alone, but by institutions that govern the cooperative pooling of innovation resources and the coordination of dispersed knowledge. This is a highly innovative account of the sources of innovation, which should be read by everyone working in this field. * Geoffrey M. Hodgson, Professor in Management, Loughborough University London * In this beautifully-written and well-argued book, Potts shows how cooperation and networking are essential to innovation and economic growth. He rightly defines technological change as a social process,and demonstrates how collective action problems involving innovation can be overcome by institutions. Relying on both economic history and theory, his book provides a convincing account based on a fusion of the new institutional economics and the economics of innovation. Highly recommended to all social scientists interested in technological change. * Joel Mokyr, Northwestern University, Author of A Culture of Growth (2016) * Jason Potts` Innovation Commons is a trailblazing contribution to economics. The new theory presented in the lucidly written book holds that innovation begins with an institutional solution to the problem of knowledge pooling and cooperation under uncertainty, eschewing the old view of a heroic entrepreneur. Potts imagination and erudition are deeply impressive. The book not only leaves far behind the conventional wisdom of neoclassical growth theory but also clears the ground for the next generation of evolutionary economists. Shedding light on the eminently social nature of the causes of economic evolution the book leads to a new understanding of the origin of firms and industries, and of the possibilities to design innovation policy. This book will prove invaluable in advancing economic theory in the age of an increasingly more complex digital economy. * Kurt Dopfer, University of St.Gallen, Switzerland *