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 imbedded, 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 are 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 Sect. 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.
Similar content being viewed by others
References
Kaldor N (1961) Capital accumulation and economic growth. In: Lutz F (ed) The Theory of Capital, London: Macmillan
Kaldor N (1985) Economics without Equilibrium, Cardiff: University College Cardiff Press
Kwasnicka H, Galar R, Kwasnicki W (1983) Technological substitution forecasting with a model based on biological analogy. Techn Forec and Social Change 23: 41–58
Kwasnicka H, Kwasnicki W (1986) Diversity and development: tempo and mode of evolutionary processes. Techn Forec and Social Change 30: 223–243
Kwasnicki W (1979) Symulacja pewnej klasy ewolucyjnych procesow rozwoju. Report 105, Inst Cybern Techn Politechnika Wroclawska
Kwasnicki W (1994) Knowledge, innovation and economy. An evolutionary exploration. Oficyna Wydawnicza Politechniki Wroclawskiej, Wroclaw; a second extended edition in 1996 by Edward Elgar Publishing Limited. Cheltenham, UK, Brookfield, US
Kwasnicki W, Kwasnicka H (1992) Market, innovation, competition. An evolutionary model of industrial dynamics. Journal of Economic Behavior and Organization 19: 343–368
McConnell, Campbell R (1984) Economics: principles, problems, and policies, 9th edn. McGraw-Hill Book Company
Nelson RR, Winter SG (1982) An evolutionary theory of economic change. Harvard University Press, Cambridge, MA
Simon HA (1986) On behavioral and rational foundations of economic dynamics. In: Day RH, Eliasson G (eds) The dynamics of market economics. Elsevier Science Publishers
Winter S (1984) Schumpeterian competition in alternative technological regimes. Journal of Economic Behaviour and Organization 5: 287–320
Author information
Authors and Affiliations
Rights and permissions
About this article
Cite this article
Kwasnicki, W. Innovation regimes, entry and market structure. J Evol Econ 6, 375–409 (1996). https://doi.org/10.1007/BF01202277
Issue Date:
DOI: https://doi.org/10.1007/BF01202277