If economic development is driven by innovation, then stagnation is driven by not changing.
What does that really mean, though?
First, let's take a look at the synonyms for each word in order to get a deeper understanding of what each word means: innovation--change, alteration, revolution, upheaval, transformation, breakthrough, and metamorphosis; stagnation--inactivity, stagnancy, idleness, and inertness.
Why wouldn't you want to change if stagnation implies sitting idle?
It requires less effort to do nothing.
Creating growth often requires you to change the routines that you have become accustomed to over time. You need the capacity to change before any effective adjustments can be made. This is easier when the consideration of new thoughts and ideas are part of your culture.
If you talk about innovation, but aren't committed to making adjustments or considering new ideas, then your change efforts will sit idle or not even get off the ground.