The Innovation Funnel & Firms
Innovation in Economics: Missing Pieces
The Innovation Funnel - The new equation provides economics to the Innovation Funnel. The resulting mathematical treatment exactly defines innovation and its measurement. An index that tracks 'Innovation in the American Economy' is provided for durable goods (1951-2001) and non-durable goods (1951-1996). It explains what Factor Productivity is supposed to, but cannot. In Firms - Direct economic measurement of innovation can enumerate the consequences for individual firms when they face dimunition from superior products. The outcome grows the economy.