The Innovation-Institution Connection: One Simple Diagram
9 Pages Posted: 27 Mar 2018
Date Written: March 27, 2018
The purpose of this note is to introduce a simple diagram that I suggest provides an intuitive and useful way of looking at the connection between institutions and innovations, regardless of what level of institutions one is concerned with. The 'back-of-the-envelope' diagram focuses attention on the effects of a new idea on the existing ideas that some institution might represent, and the sort of innovated institution that it might help engender.
Keywords: Innovation, Institutions, Ideas
JEL Classification: O3, O17
Suggested Citation: Suggested Citation