Amar Bhide's new book

The Venturesome Economy: How Innovation Sustains Prosperity in a More Connected World is drawing good reviews from some quarters The Austrian Economists:
"This is a brilliant work and some be on everyone's reading list for the holidays. Seriously. Bhide demonstrates through detailed examinaton of the facts how the mechanisms of innovation actually work to spread knowledged, realize the gains from trade and realize the gains from innovation throughout the globe. His work seriously challenges the policy consensus in Washington about technological innovation. To put it bluntly, economic progress is a function not of state funded basic research, but of the development of technological applications in commercial endeavors."
Here is a more critical review from The Economist A gathering storm?:
"So does the relative decline of America as a technology powerhouse really amount to a threat to its prosperity? Nonsense, insists Amar Bhidé of Columbia Business School. In “The Venturesome Economy”, a provocative new book, he explains why he thinks this gloomy thesis misunderstands innovation in several fundamental ways.

First, he argues that the obsession with the number of doctorates and technical graduates is misplaced because the “high-level” inventions and ideas such boffins come up with travel easily across national borders. Even if China spends a fortune to train more scientists, it cannot prevent America from capitalising on their inventions with better business models.

That points to his next insight, that the commercialisation, diffusion and use of inventions is of more value to companies and societies than the initial bright spark. America’s sophisticated marketing, distribution, sales and customer-service systems have long given it a decisive advantage over rivals, such as Japan in the 1980s, that began to catch up with its technological prowess. For America to retain this sort of edge, then, what the country needs is better MBAs, not more PhDs.

America also has another advantage: the extraordinary willingness of its consumers to try new things. Mr Bhidé insists that such “venturesome consumption” is a vital counterpart to the country’s entrepreneurial business culture.

Is he right? The lack of long-term data means this has become “a quasi-theological dispute”, says Robert Litan of the Kauffman Foundation, a charity that provided some funding for Mr Bhidé’s work. But the contrarian should not be dismissed out of hand. For a start, he is right to argue against making a fetish of invention. Edison did not invent the light bulb and Ford did not think up the motor car, but both came up with the business-model innovations required to profit from those marvels."

Here is Amar Bhide's webpage with more links and an interesting article by him on current financial crisis An Accident Waiting to Happen.
Yves Smith of 'Naked Capitalism' says "the author of the research, Amar Bhide, is a friend of mine, and also unfailingly smart and provocative"