This paper develops an endogenous growth model based on the idea of new combinations of input factors as a growth mechanism. The model integrates the idea of several technologies used simultaneously in producing final output. Innovations are of the horizontal and vertical type and in addition of...

Innovation is the major driver of economic growth and development. To analyze innovation processes the restriction of a framework suited to the analysis of innovation towards the industrial sphere of an economy is not sufficient because of the important co-evolutionary dimensions of innovation....