Interaction as the Factor of Innovation Development: Agglomeration Effects

In the first part of the article on the basis of this analysis the author shows that under the basic provisions of the theories of regional development, including theoretical conclusions of the new economic geography, strengthening the processes of agent’s interaction stands as an essential attribute of agglomeration due to the process of spatial concentration of economic activity. Next, consider the specifics of the processes of economic agent’s interaction in the conditions of agglomerations and the interrelation between intensification of interaction processes and innovation development. Consider the content of such phenomena caused by increased interaction in the sphere of innovations, as the diffusion of innovations, implementation of the concept of open innovations, as well as intensified activity of networks. The article proved, that due to agglomeration effects the interaction becomes a significant factor in the innovation development, promoting the formation of a postindustrial agglomeration based on the knowledge economy

Keywords: interaction, innovation development, agglomeration effects, knowledge economy