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...

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...