# Product Innovation and Macroeconomic Dynamics

Conference paper

First Online:

## Abstract

We develop an agent-based macroeconomic model in which product innovation is the fundamental driver of growth and business cycle fluctuations. The model builds on a hedonic approach to the product space and product innovation developed in Georges (A hedonic approach to product innovation for agent-based macroeconomic modeling, 2011).

## Keywords

Innovation Growth Business cycles Agent-based modeling Agent-based macroeconomics## Notes

### Acknowledgements

I am grateful to participants at CEF 2015 and a referee for useful comments, suggestions, and discussions. All errors are mine.

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