We study innovation and the resulting Schumpeterian economic growth that this innovation gives rise to in a model with … balanced growth path (BGP) allocations and the equilibrium of interest. Second, we stipulate the form of the innovation … circumstances in which there is either too much or too little innovation in (i) the ith region, (ii) the aggregate economy of N>2 …

Knowledge drives the growth of nations and regions in a competitive space-economy. Hence, we would expect a strong … correlation between investments in R&D, knowledge and learning processes, on the one hand, and productivity increases, on the … other. However, the empirical evidence shows consistent discrepancies between knowledge inputs and economic performance …