Nelson and Winter have developed the most influential simulation models to analyze the processes of industrial dynamics and economic growth. Their models are perfect examples of the KISS principle in simulation. The models and the evolutionary theory on which the models are based are explained in detail in their path-breaking book, Nelson, R.R., and Winter, S.G. (1982), An Evolutionary Theory of Economic Change, Belknap Press, Cambridge, Mass. and London.
This site provides a simple implementation of the basic industry dynamics model in spreadsheets and R so that anybody without a programming knowledge can “play” with the model, run different experiments, and get the feeling of micro-simulation modeling. All the models presented on this web page are freely available for non-profit research and education. Please feel free to copy and redistribute them in modified or unmodified form.