An agent-based simulation model representing a theory of the dynamic processes involved in innovation in modern knowledge-based industries is described. The agent-based approach allows the representation of heterogeneous agents that have individual and varying stocks of knowledge. The simulation...

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