Focusing on the model of demand-driven innovation and spatial competition over time in Jovanovic and Rob (1987), we study the effects of the robustness of estimators employed by firms to make inferences about their markets on the firms’ growth patterns. We show that if consumers’ signals in...

Learning and stochastic evolutionary models provide a useful framework for analyzing repeated interactions and experimentation among economic agents over time. They also provide sharp predictions about equilibrium selection when multiplicity exists. This paper defines three convergence measures,...