Quarterly Journal of Austrian Economics
Entrepreneurship, Compensation, and the Corporation
Volume 14, Number 1; 3-24: Spring 2011.
This paper revisits the concept of entrepreneurship, which is frequently neglected in mainstream economics, and discusses the importance of defining and isolating this concept in the context of large, publicly held companies. Compensating for entrepreneurial services in such companies, ex ante or ex post, is problematic—almost by definition—despite the availability of devices such as stock and stock options. It is argued that insider trading can serve as a unique compensation device and encourage a culture of innovation.
Cite This Article
Manne, Henry. "Entrepreneurship, Compensation, and the Corporation." The Quarterly Journal of Austrian Economics 14, No. 1; (Spring 2011): 3-24.