| Article ID | Journal | Published Year | Pages | File Type |
|---|---|---|---|---|
| 5098230 | Journal of Economic Dynamics and Control | 2015 | 14 Pages |
Abstract
It is shown that the opportunity for process innovation can be described minimally and formally modeled by considering the availability of a new process as a function of a controlled stochastic variable where success depends on chance modified by the level of investment. The Schumpeterian concept of “breaking the circular flow of capital” appears naturally as a disequilibrium phenomenon where the extra resources are captured by a strategic disequilibrating allocation of money.
Related Topics
Physical Sciences and Engineering
Mathematics
Control and Optimization
Authors
Martin Shubik, William D. Sudderth,