The effect of entrepreneurship on national economic growth

The increased importance of knowledge as a source of competitiveness for modern economies suggests that the organization of industries most conducive to innovative activity and unrestrained competition will be linked to higher growth rates. Entrepreneurial activity is generally assumed to be an important aspect of this organization. entrepreneurial activity indeed affects economic growth, but that this effect depends upon the level of per capital income. This suggests that entrepreneurship plays a different role in countries in different stages of economic development