THE COST OF ENTREPRENEURSHIP AND OUTPUT DECISIONS: CERTAINTY AND UNCERTAINTY

Abstract

In his classic paper, “A Note on Profit Maximization and Its Implications,” Scitovsky [1943] examines the conditions under which “… the maximizing of profits leads to the maximization of the entrepreneur's satisfaction.” He finds that in order “… that maximum profits should maximize his satisfaction, the entrepreneur must have a special type of psychology …” In particular, “… the entrepreneur's choice between more and less activity — or between more income and more leisure — must be independent of his income.”

Citation

BLOCK, M.K. and HEINEKE, J.M. (1975), "THE COST OF ENTREPRENEURSHIP AND OUTPUT DECISIONS: CERTAINTY AND UNCERTAINTY", Journal of Economic Studies, Vol. 2 No. 1, pp. 60-66. https://doi.org/10.1108/eb008049