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Marshallian Externalities in Innovation

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Author Info
 Kelly, Morgan
Hageman, Anya

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Abstract

A quality ladder model is used to test for Marshallian externalities in innovation. The model predicts that, in the absence of spillovers, the geographical distribution of research should be the same as that of production. This hypothesis is strongly rejected: innovation in two-digit industries exhibits strong spatial clustering independently of the distribution of employment. We find also, in support of Romer and Lucas, that there are strong spillovers from aggregate innovative activity in a region to the research intensity of individual industries. The location of a sector's R&D activity is determined more by the location of other sectors' innovation than by the location of its own production. Copyright 1999 by Kluwer Academic Publishers

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Publisher Info
Article provided by Springer in its journal Journal of Economic Growth.

Volume (Year): 4 (1999)
Issue (Month): 1 (March)
Pages: 39-54
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Handle: RePEc:kap:jecgro:v:4:y:1999:i:1:p:39-54

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  1. Beugelsdijk, S. & Cornet, M., 2001. "How far do they reach? : the localization of industrial and academic knowledge spillovers in the Netherlands," Discussion Paper 47, Tilburg University, Center for Economic Research. [Downloadable!]
  2. Funke, Michael & Niebuhr, Annekatrin, 2000. "Spatial R&D Spillovers and Economic Growth - Evidence from West Germany," Discussion Paper Series 26396, Hamburg Institute of International Economics. [Downloadable!]
  3. Osipian, Ararat, 2007. "Экономический Рост: Образование Как Фактор Производства
    [Economic Growth: Education as a Factor of Production]    ," MPRA Paper 7593, University Library of Munich, Germany. [Downloadable!]
  4. Ejermo, Olof & Karlsson, Charlie, 2004. "Spatial Inventor Networks As Studied by Patent Coinventorship," Working Paper Series in Economics and Institutions of Innovation 17, Royal Institute of Technology, CESIS - Centre of Excellence for Science and Innovation Studies. [Downloadable!]
  5. Muriel Fadairo & Nadine Massard, 2009. "The geography of innovation : challenge to technology policy within regions," Working Papers hal-00377007_v1, HAL. [Downloadable!]
  6. R. Moreno & Raffaele Paci & Stefano Usai, 2005. "Innovation Clusters in the European Regions," Working Paper CRENoS 200512, Centre for North South Economic Research, University of Cagliari and Sassari, Sardinia. [Downloadable!]
  7. Raffaele Paci & Stefano Usai, 1999. "The role of specialisation and diversity externalities in the agglomeration of innovative activities," Working Paper CRENoS 199915, Centre for North South Economic Research, University of Cagliari and Sassari, Sardinia. [Downloadable!]
    Other versions:
  8. Olof Ejermo, 2002. "Knowledge Production in Swedish Functional Regions 1993-1999," CESPRI Working Papers 140, CESPRI, Centre for Research on Innovation and Internationalisation, Universita' Bocconi, Milano, Italy, revised Feb 2003. [Downloadable!]
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  9. Rafael Boix & Joan Trullén, 2004. "Knowledge, networks of cities and growth in regional urban systems: theory, measurement and policy implications," ERSA conference papers ersa04p85, European Regional Science Association. [Downloadable!]
  10. Stefano Breschi & Francesco Lissoni, 2001. "Knowledge spillovers and local innovation systems: a critical survey," LIUC Papers in Economics 84, Cattaneo University (LIUC). [Downloadable!]
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  11. Raffaele Paci & Stefano Usai, 2001. "Externalities and local economic growth in manufacturing industries," Working Paper CRENoS 200113, Centre for North South Economic Research, University of Cagliari and Sassari, Sardinia. [Downloadable!]
  12. Alejandro Diaz-Bautista, 2005. "Convergence and Economic Growth considering Human Capital and R&D Spillovers Convergencia y Crecimiento Economico en Mexico considerando al Capital Humano y derrames en Investigacion y Desarrollo," Urban/Regional 0506012, EconWPA. [Downloadable!]
  13. Catherine Beaudry & Stefano Breschi, 2000. "Does 'Clustering' really help firms'innovative activities?," CESPRI Working Papers 111, CESPRI, Centre for Research on Innovation and Internationalisation, Universita' Bocconi, Milano, Italy, revised Jul 2000. [Downloadable!]
  14. Paci, Raffaele & Usai, Stefano, 2000. "Externalities, Knowledge Spillovers And The Spatial Distribution Of Innovation," ERSA conference papers ersa00p104, European Regional Science Association. [Downloadable!]
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  15. Gries, Thomas & Redlin, Margarete, 2008. "International Integration and Regional Development in China," Working Papers RP2008/66, World Institute for Development Economic Research (UNU-WIDER). [Downloadable!]
  16. Eckhardt Bode, 2001. "Is Regional Innovative Activity Path-dependent? An Empirical Analysis for Germany," Kiel Working Papers 1058, Kiel Institute for the World Economy. [Downloadable!]
  17. Ejermo, Olof, 2004. "Technological Diversity and Jacobs' Externality Hypothesis Revisited," Working Paper Series in Economics and Institutions of Innovation 16, Royal Institute of Technology, CESIS - Centre of Excellence for Science and Innovation Studies. [Downloadable!]
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