You may try the following (you may have been through some already) and see whether it helps, 4) or 5) may be most likely:
1) Close down Illy and open again;
2) Restart the computer;
3) Close down Illy and press Ctrl+Alt+Shift/Cmd+Option+Shift during startup (irreversible);
4) Move the folder with Illy closed (reversible);
5) Look through and try out the relevant among the Other options (especially the usual suspects in Item 7);
Even more seriously, you may:
6) Uninstall, run the Cleaner Tool and reinstall.
Don't understand the problem. What exactly do you do and what exactly is happening?
When typing, between words you want space, creating that with space-bar.
(when typing phrases)
When touching space-bar between words, texttool stops and arrow-tool gets selected.
So can not type normally.
Does this make my problem more clear?
Restarting computer and/or Illustrator does not help.
Trying the Ctrl+Alt+shift opstion when restarting now.
Thank you in advance!