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I think it's an interesting point about innovation actually being very rare, and I agree. It takes a special combination of things for to happen and that combination doesn't come around much. Britain was extremely innovative a few hundred years ago. In fact, they started the industrial revolution, literally revolutionising humanity. But today they do not strike me as particularly innovative even with that history behind them.
I don't think America's ability to innovate is coming to end all that soon. But even if America continues to prosper, will that mean it continues to innovate? It takes more than prosperity for innovation to happen. It takes a combination of factors that nobody really understands. It takes a particular culture, a particular legal system, and much more.
I don't know about that. People have been discussing how does an innovation hub (like Silicon Valley) appear and how one might create one -- that is a difficult problem, partially because starting a virtuous circle is hard.
But general innovation in a society? Lemme throw in some factors off the top of my mind: