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Technology Adoption and the Emergence of Regional Asymmetries

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  • Giovannetti, Emanuele

Abstract

The model explains the emergence of asymmetric productive structures among regions based on adoption of a quality improving technology. Firms' products are differentiated both in location and quality, location is given. We characterize symmetric and asymmetric equilibria of the two stage game in price and adoption. Asymmetric equilibria display partial adoption frequencies and regular geographical patterns of adoptions. The asymmetry of the economy has, often, a reverse U-shaped relation with the innovation size. Market integration is an obstacle for the full adoption of the new technology and favours the emergence of regional asymmetries. Copyright 2000 by Blackwell Publishing Ltd

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Bibliographic Info

Article provided by Wiley Blackwell in its journal Journal of Industrial Economics.

Volume (Year): 48 (2000)
Issue (Month): 1 (March)
Pages: 71-102

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Handle: RePEc:bla:jindec:v:48:y:2000:i:1:p:71-102

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Cited by:
  1. Enrico Santarelli, 2004. "Patents and the Technological Performance of District Firms Evidence for the Emilia-Romagna Region of Italy," Papers on Entrepreneurship, Growth and Public Policy 2004-29, Max Planck Institute of Economics, Entrepreneurship, Growth and Public Policy Group.
  2. D'Ignazio, A. & Giovannetti, E., 2004. "From Exogenous to Endogenous Networks: Internet Applications," Cambridge Working Papers in Economics 0445, Faculty of Economics, University of Cambridge.
  3. Giovannetti, E. & Neuhoff, K. & Spagnolo, G., 2005. "Agglomeration in Internet Co-operation Peering Agreements," Cambridge Working Papers in Economics 0505, Faculty of Economics, University of Cambridge.

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