William Baumol

William Baumol was an influential American economist best known for his work on entrepreneurship, innovation, and economic growth. He introduced the concept of "Baumol’s cost disease," which explains how rising wages in certain sectors, like healthcare and education, can lead to increased costs without an increase in productivity. Baumol emphasized the importance of creative entrepreneurs in driving economic progress and argued that such innovation is essential for addressing societal challenges. His ideas have had significant implications in understanding how economies evolve and the role of services in the modern economy.