the fundamental (and still poorly understood) role played by innovation in the finance-growth nexus. …

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 …

We theoretically study the impact of two innovation policies on economic growth in a region that is creative in the …