Satiation of need is generally ignored by growth theory. I study a model where consumers may be satiated in any given … satiation. This, despite that the social costs of innovation are second order compared to their social benefits. Multiple … savings reduces interest rates, which boosts the rate of innovation. When TFP grows exogenously and labor supply is …

distorts occupational choice. We study this possibility in the context of a model with horizontal innovation, where the …