Abstract
Abstract When analysing the declining innovation and growth dynamics of modern economies, cultural and ethical influencing factors can be identified alongside economic causes. In his theory on the innovative capacity of the market economy, Edmund Phelps emphasised the importance of non-monetary motives for entrepreneurial activity, which can also be substantiated by looking back at the history of the industrial revolution(s). From a current perspective, the introduction of shareholder value-oriented approaches to corporate management and the transition to financial market-based benchmarks at the end of the 20th century led to a radical change in the culture of motivation in the financial and real economy. As a result, the ability to innovate was impaired by reduced investment in research and development, which was exacerbated by the misallocation of capital in the financial sector.
Sign-in/Register to access full text options 
Talk to us
Join us for a 30 min session where you can share your feedback and ask us any queries you have
Schedule a callDisclaimer: All third-party content on this website/platform is and will remain the property of their respective owners and is provided on "as is" basis without any warranties, express or implied. Use of third-party content does not indicate any affiliation, sponsorship with or endorsement by them. Any references to third-party content is to identify the corresponding services and shall be considered fair use under The CopyrightLaw.
