Abstract
ADOCTRINE OF law has been developed by the United States Supreme Court which is wholly in contradiction to the conventional legal and economic conception of business enterprise. It will be the burden of this article to show that the Supreme Court is right and that economics wrongly comprehends the most fundamental building block of its theory: that economists' concepts of the firm are obsolete. Beyond dealing with the doctrine of law, the attempt will be made to develop an alternative conception of enterprise and to illustrate its relevance for social policy.
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