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In this collection of articles by well-known scholars, the editors link the impact of innovation to the process by which firms and industries change over time and ultimately lead to economic development and growth. The book covers topics such as the impact of the product life cycle on industry, evolution, the links between innovative activity and the start-up of new firms, and an analysis of the sources of diversity and the impact of diversity in economic evolution. The three key elements of the post-entry performance of firms are examined - their ability to survive, the learning process and the links between industry evolution and productivity. The book then explores the roles of turbulence and persistence in an evolutionary economy. Additional topics include the evolution of market structures, the evolution of regions and the international competitiveness of industries in an evolutionary context. Finally the book offers an examination of the implication for government policy of the links between innovation industry evolution and economic development.