Christopher Watts and Nigel Gilbert explore the generation, diffusion and impact of innovations, which can now be studied using computer simulations. Agent-based simulation models can be used to explain the innovation that emerges from interactions among complex, adaptive, diverse networks of...

Why agent-based modelling is useful for economists -- Starting agent-based modelling -- Heterogeneous demand -- Social demand -- Benefits of barter -- The market -- Labour market -- International trade -- Banking -- The tragedy of the commons