Doing Capitalism in the Innovation Economy
Reconfiguring the Three-Player Game between Markets, Speculators and the State

Shows how the digital revolution, sponsored by government and funded by speculation, now challenges the authority and legitimacy of the state.

William H. Janeway (Author)

9781108471275, Cambridge University Press

Hardback, published 17 May 2018

458 pages, 2 b/w illus. 1 table
23.5 x 16 x 2.5 cm, 0.86 kg

Review of previous edition: 'This is one of the most intelligent, sensible and insightful books about Wall Street published since the financial implosion of 2008.' Robert Teitelman, Slate

Legendary economist Hyman Minsky identified author William H. Janeway as a 'theorist-practitioner' of financial economics; this book is an expression of that double life. Interweaving his unique professional perspective with political and financial history, Janeway narrates the dynamics of the innovation economy from the standpoint of a seasoned practitioner of venture capital, operating on the frontier where innovative technology transforms the market economy. In this fully revised and updated edition, Janeway explains how state investment in national goals enables the innovation process and why financial bubbles accelerate and amplify its impact. Now, the digital revolution, sponsored by the state and funded by speculation, has matured to attack the authority, and even the legitimacy, of governments. The populist response in the west, especially in the United States, opens the door for China to seize leadership of the innovation economy from America.

Introduction
Part I. Learning the Game: 1. Apprenticeship
2. Discovering computers
3. Investing in ignorance
Part II. Playing the Game: 4. The financial agent
5. The road to BEA
6. Apotheosis
Part III. Understanding the Game: The Role of Bubbles: 7. The banality of bubbles
8. Explaining bubbles
9. The necessity of bubbles
Part IV. Understanding the Game: The Role of the State: 10. Where is the state?
11. 'The failure of market failure'
12. Tolerating waste.

Subject Areas: Business innovation [KJD], Investment & securities [KFFM], Finance [KFF], Economic history [KCZ], Economics [KC]