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Where is the Austrian theory of collaborative orders? Comment on Elert and Henrekson

The Review of Austrian Economics volume 32, pages 339–347 (2019)Cite this article

Abstract

In this issue, Elert and Henrekson observe that Austrian economic theory is lacking with respect to explaining formal governance in the economy, and suggest drawing from, if not incorporating, re-cent work on the collaborative innovation bloc. This, they argue, would make Austrian economics more relevant to policy. I elaborate on and specify the theory space they address, and agree that it is a nascent and still underdeveloped area of theorizing in Austrian theory. However, recognizing the complexity of coordination and how it is prevalent on all institutional levels of economic analysis, I question the wisdom of adopting a single case over producing a universal Austrian theory of organizing and governance.

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Notes

  1. Rothbard (2004, p. 613), interestingly, cites Ronald Coase’s work in his discussion on the firm—several years before Williamson’s “rediscovery” of Coase’s “The Nature of the Firm.”

  2. Running the firm is not the actual role of the entrepreneur, but rather the management function (Bylund 2018), or the “junior partner of the entrepreneur” (von Mises [1949] 1998, p. 805).

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Authors and Affiliations

  1. School of Entrepreneurship, Spears School of Business, Oklahoma State University, 424 Business building, Stillwater, OK, 74075, USA

    Per L. Bylund

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  1. Per L. Bylund
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Correspondence to Per L. Bylund.

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Bylund, P.L. Where is the Austrian theory of collaborative orders? Comment on Elert and Henrekson. Rev Austrian Econ 32, 339–347 (2019). https://doi.org/10.1007/s11138-019-00457-w

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Keywords

  • Entrepreneurship
  • Austrian economics
  • Collaborative innovation blocs

JEL classification

  • L26
  • L22
  • L19