Evolutionary Economics, Responsible Innovation and Demand: Making a Case for the Role of Consumers

Authored by Andreas Pyka, Michael P Schlaile, Matthias Mueller, Michael Schramm

Date Published: 2018

DOI: 10.1007/s40926-017-0054-1

Sponsors: No sponsors listed

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Model Documentation: Other Narrative

Model Code URLs: Model code not found

Abstract

This paper contributes to the (re-)conceptualisation of responsible innovation by proposing an evolutionary economic approach that focuses on the role of consumers in the innovation process. After a discussion of the philosophical foundations and ethical implications of this approach, which bears an explanatory potential that has not been adequately considered in previous discussions of responsible innovation, we present a first step towards capturing the important but often neglected role of consumers in innovation processes (including responsible innovation): We propose an agent-based model that incorporates a multidimensional space of characteristics in which new products or services are represented by more than the mere aspect of price and quality. Instead, innovations are denoted by a large set of characteristics, including also negative or harmful ones. The model is used to illustrate that consumers' heterogeneity and bounded rationality - even if considered in a simple manner - indeed play a crucial role in the creation and diffusion of responsible innovation which can and should be used for further work in this field and for possible extensions of the model.

Tags

Agent-based modelling Simulation networks Model Methodology Science Framework Philosophy Consumption Consumer social responsibility Evolutionary economics Innovation and demand Neo-schumpeterian economics Responsible innovation Shared responsibility Global justice