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Abstract:
The typical course in economics begins with the assumption that there exists a demand for goods and services. It is also assumed that a capital stock of facilities that produce final goods and services just exist somehow, do not have to be created, and that economics are concerned with wealth distribution from these facilities to the exiting demand. In reality, all such capital must have been previously created. Its only source must be human capital ideas of imagination and creativity, otherwise known as entrepreneurship. Entrepreneurship, where it succeeds, creates its own demand in the minds of people who do not know what they want until it is shown to them. A new CDR growth model that accounts for entrepreneurial capital and capital stock, and combines them with democracy and rule of law, is discussed for inclusion in the beginning university course in economics.
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