A Model of Innovation and Knowledge Development Among Boundedly Rational Rival Firms
21 Pages Posted: 27 Oct 2015 Last revised: 28 Oct 2015
Date Written: October 25, 2015
This model explores the consequences of common theoretical hypotheses and empirical stylized facts regarding innovation, knowledge development and knowledge management by geographically clustered, boundedly rational rival firms. Its most innovative feature is that it assumes that the market performance of innovations can be predicted by their ability to bridge between existing pieces of knowledge.
Keywords: Industrial Clusters, Bounded Rationality, Knowledge Dynamics
JEL Classification: R12, D89
Suggested Citation: Suggested Citation