Good Capitalism, Bad Capitalism, and the Economics of Growth and Prosperity - Hardcover

"Good Capitalism, Bad Capitalism" tells us that capitalism comes in different flavors, and some of those flavors taste very much better than others.One of these forms of capitalism, entrepreneurial capitalism, is a special treat.It leads to growth and prosperity.The other forms are to be avoided; they lead to stagnation.This new view of the wealth of nations offers a guide to economic policy in all countries, from richest to poorest.This is a daring book with big, bold, important ideas. George Akerlof, University of California, Berkeley, Nobel Laureate in Economics, 2001 --George Akerlof"

Imagine this: a mere century ago, the purchasing power of an average American was one-tenth of what it is today. But what will it take to sustain that growth through the next century? And what can be said about economic growth to aspiring nations seeking higher standards of living for their citizens? In this important book, William Baumol, Robert Litan, and Carl Schramm contend that the answers to these questions lie within capitalist economies, though many observers make the mistake of believing that capitalism is of a single kind. Writing in an accessible style, the authors dispel that myth, documenting four different varieties of capitalism, some "Good" and some "Bad" for growth. The authors identify the conditions that characterise Good Capitalism: the right blend of entrepreneurial and established firms, which can vary among countries; as well as the features of Bad Capitalism. They examine how countries catching up to the United States can move faster toward the economic frontier, while laying out the need for United States itself to stick to and reinforce the recipe for growth that has enabled it to be the leading economic force in the world. This path-breaking book is a must read for any one who cares about global growth and how to ensure America's economic future.