ABSTRACT
In the Schumpeterian tradition of analysis firms are able to change their technologies and to introduce innovations as a part of their competitive strategies. In the effort to generalise the Schumpeterian approach, the introduction of an innovation can be viewed as a part of a broader process of creative reaction to the changing conditions of both the product and the factor markets. Thus both the induced technological change and the post-Keynesian demand-pull traditions of analysis contribute to this generalised approach.
