Article: The new knowledge economy.(Books)(Book Review)

The Gifts of Athena: Historical Origins of the Knowledge Economy, by Joel Mokyr. Princeton, N.J.: Princeton University Press, 2002, 376 pp.

The past decade has seen increasing realization that the U.S. economy is powered not by the old factors of production--land, labor, and capital--but by new factors: knowledge and innovation. This understanding is reflected in the resurgence of interest in economists, such as Joseph Schumpeter, who placed entrepreneurship and research at the center of growth, along with the development of the "new growth economics" that explicitly focuses on the role of knowledge in stimulating growth. Yet federal policymakers and their ...

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