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Innovation regimes, entry and market structure

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  • Kwasnicki, Witold

Abstract

This paper contains a description of an evolutionary model of industrial dynamics and a report on the simulation study of the model. The presentation of the model is partitioned into two sections. In the first section I focus on the economic features of industrial development with no technological change embedded, while an extended version of this model with the search for innovation process included is presented in the next section. In the next two sections, results of the simulation study on technological regimes and firm entry is presented. Technological regimes relate to different types of innovation captured by the model, so I consider the cost regime, the technical performance regime and the capital productivity regime. In section III I investigate the influence of the different types of innovation on the development of the industry, particularly on industry concentration and on the products’ price distribution, and in the fourth section an evolution of industry structure with the possibility of firm entry is investigated.

Suggested Citation

  • Kwasnicki, Witold, 1995. "Innovation regimes, entry and market structure," MPRA Paper 22445, University Library of Munich, Germany.
    • Handle: RePEc:pra:mprapa:22445
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    References listed on IDEAS

    as
    1. Winter, Sidney G., 1984. "Schumpeterian competition in alternative technological regimes," Journal of Economic Behavior & Organization, Elsevier, vol. 5(3-4), pages 287-320.
    2. Kwasnicki, Witold & Kwasnicka, Halina, 1992. "Market, innovation, competition: An evolutionary model of industrial dynamics," Journal of Economic Behavior & Organization, Elsevier, vol. 19(3), pages 343-368, December.
    3. F. A. Lutz, 1961. "The Theory of Capital," International Economic Association Series, Palgrave Macmillan, number 978-1-349-08452-4 edited by D. C. Hague, December.
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    Cited by:

    1. Heinrich, Torsten, 2016. "The Narrow and the Broad Approach to Evolutionary Modeling in Economics," MPRA Paper 75797, University Library of Munich, Germany.
    2. Diana Baidoc & Laura Bacali, 2017. "Impact of innovation on sustainable development of organizations," Review of Applied Socio-Economic Research, Pro Global Science Association, vol. 14(2), pages 5-18, December.

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    More about this item

    Keywords

    Evolutionary dynamics; innovation; technological regimes; firms’ entry;
    All these keywords.

    JEL classification:

    • C63 - Mathematical and Quantitative Methods - - Mathematical Methods; Programming Models; Mathematical and Simulation Modeling - - - Computational Techniques

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