Purpose The purpose of this paper is to explore the significance of bounded rationality for innovation research. It does so by expounding the structure and the assumptions of an agent-based model where boundedly rational actors engage in knowledge development and imitation. It is a conceptual...

Schumpeter maintained that oscillations of macroeconomic variables are only the "secondary wave" of business cycles, a reflex of more fundamental "primary waves" at the microeconomic level caused by the innovative activity of entrepreneurs. Uniting Schumpeter's concern for innovation with...

Investment decision-making is modeled by means of a Kohonen neural net, whose neurons represent firms as decision-makers. Thus, the network reconstructs collective decision-making by the productive system. This model focuses on the decision to invest in novel fields of activity, which requires...

Shafer's evidence theory is a branch of the mathematics of uncertain reasoning that allows for novel possibilities to be conceived by a decision-maker. Many of its findings exhibit striking similarities with an alternative decision theory purported by Shackle in the 1950s, before expected...

This paper illustrates an artificial ecosystem where hierarchical organizations emerge out of collisions between individuals, problems, solutions and choice opportunities according to the rules of the Garbage Can Model of organizational choice (GCM). This artificial world suggests that specific...

This model explores the consequences of common theoretical hypotheses and empirical stylized facts regarding innovation, knowledge development and knowledge management by geographically clustered rival firms. Our model artificially generates innovations, unknown and unexpected to our artificial...

We present Turkey’s manufacturing-sector innovation data and, for the first time, analyze likely relationships among GDP growth, sectoral innovation intensities, energy consumptions, and energy-saving potentials. We detect a power-law-like relationship between the projected energy-saving...

The paper investigates investment decisions by using a new source of data, that is the OBI annual survey on firms. The main focus of our analysis mainly is the influence of credit market conditions on investment decisions and we find that the main obstacle to the investment is the level of...

A growing number of studies that look at the relationship between innovation and exports find that more innovation tends to allow firms to export more. But very little is known about the heterogeneous impacts of innovation on exports. Since innovation is not a costless activity, it is important...