This introduction sets in context the works that follow, which are meant to take stock of the theoretical advances and also historical changes since the seminal Arrow (1962) and Nelson (1959). First, we summarize some of the original Arrow--Nelson insights. Second, we map the subsequent...

Extant explanations of the nature and scope of firms, such as transaction costs, property rights, metering and “resources” can be integrated into a more general (capability based) theory of the nature and essence of the firm that recognizes the importance to the firm of creating (and...