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    <abstract>Regional and urban systems appear to pass through complicated development processes caused by structural dynamics and urban-regional-national interrelationships. Such turbulent movements reflect in each stage the interactions of different dynamics with both multiplying and dampering effects, as well as thresholds of system responses. The identification of key variables and regularities in complex dynamic spatial systems is essential for planning and adaptive management. 

The present paper, written by Peter Nijkamp (Free University, Amsterdam) as a visiting scholar at IIASA, is an attempt at analyzing the impacts of innovations on spatial systems. It provides a survey of the current literature, while it also aims at designing a dynamic model for studying the impacts of (public) policies on the stability of a dynamic spatial system characterized by innovations. In this regard, this paper reflects one of the new research directions in the Integrated Regional and Urban Development Programme.</abstract>
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