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Solomon’S Knot: How Law Can End The Poverty Of Nations, Robert D. Cooter, Hans Bernd Schaefer
Solomon’S Knot: How Law Can End The Poverty Of Nations, Robert D. Cooter, Hans Bernd Schaefer
Robert Cooter
In the modern world, nations are relatively poor because their economies fail to grow. Compared to sustained growth, other sources of wealth are insignificant. Sustained growth comes from innovations like a better computer program in Silicon Valley, an improved assembly line in Sichuan, or a new export market for leather in Swaziland. Whether in technology, organization, or markets, a new idea requires money for its implementation. Uniting ideas and capital is a problem of trust. The innovator must trust the investor not to disseminate the idea, and the investor must trust the innovator not to steal the money. We call …