This research focuses on the effects of public sponsorship, and regional infrastructure on the emergence and survival of new organizations. Propositions are tested regarding the joint effects of sponsorship and infrastructure on industrial development in a randomly selected sample of fourteen regions. The data include six measures of infrastructure, sponsorship as measured by the total dollars spent for economic development and their individual and joint effects on the number of firms and employees in "high technology" industries for the years 1965, 1970, 1975, 1980, and 1984. This preliminary analysis suggests that variation in the infrastructure and level of sponsorship within a region is related to the birth and survival of new organizations. Copyright 1993 by Kluwer Academic Publishers
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