Entrepreneurship and Growth – Essay Example
The paper "Entrepreneurship and Growth" is an excellent example of an essay on macro and microeconomics. Any innovative entity either new or already in existence that leads to the creation of new goods or services or leads to the development of the better and cost-effective method in the production of goods and services is termed as an entrepreneur. Therefore, entrepreneurship is a process of creative innovation. A combination of innovative entrepreneurs and larger more established firms that bring forth mass production of entrepreneurs leads to successful economic growth in a country. A consumer is an economic driver. A consumer is not necessary a people but a systematic set of preferences. Increases in input and advanced technological changes are the economy’s growth strategy hence the main focus of economists. Therefore, in entrepreneurship, the best innovation becomes useful when the innovation is commercially viable. Economic growth, however, depends on the implementation of macroeconomic policies. Economic growth includes practical fiscal and monetary policies that ensure inflation is relatively low and steady. A successful entrepreneurial economy is determined by the level of economic growth. When there is minimal bureaucracy of time and capital, rewarding of useful entrepreneurial activities and retaining or increasing the economy pie by the government then starting a business becomes relatively easy. In addition, culture, level of education and, democracy plays a role in the growth of an entrepreneurial economy. Therefore, economic growth of any country depends on how easy the market is to allow the establishment of a new business. Supremacy of a countries economy to another is always likely to change. The strong entrepreneurial economy is never a guarantee for any country retaining the level of economic growth. A country faces several challenges in terms of maintaining the economy. For instance, the biggest challenge to the superpower countries like the United State is to maintain or increase the county’s economy productivity level. Therefore, maintaining entrepreneurial capitalism and running of larger firms is the key approach to ensure growth in the economy of a country thereby avoiding economic drawdown.