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Technological convergence among US regions and states

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Author Info
Catherine Co
Mark Wohar

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Abstract

This paper employs unit root tests that allow for two endogenously determined structural breaks to study whether or not invention activities are converging across US regions/states. Using US patent data from 1929 to 1997, we find technological β-convergence in six of the nine Census regions, in 11 of the 14 leading states and in 28 of the 34 lagging states. Stochastic convergence, on the other hand, is found in three regions, in four leading states and in 17 lagging states. Carlino and Mills (1993) point out that both β- and stochastic convergence are necessary conditions for convergence. Putting these results together, we find convergence (both β- and stochastic) in invention activities in three regions, in three leading states and in 16 lagging states.

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Publisher Info
Article provided by Taylor and Francis Journals in its journal Economics of Innovation and New Technology.

Volume (Year): 13 (2004)
Issue (Month): 2 (March)
Pages: 101-126
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Handle: RePEc:taf:ecinnt:v:13:y:2004:i:2:p:101-126

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Related research
Keywords: Patent; Us Regions And States; β -Convergence; Stochastic Convergence; Unit Root Test;

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References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
  1. Samuel S. Kortum, 1997. "Research, Patenting, and Technological Change," Econometrica, Econometric Society, vol. 65(6), pages 1389-1420, November.
  2. Loewy, Michael B. & Papell, David H., 1996. "Are U.S. regional incomes converging? Some further evidence," Journal of Monetary Economics, Elsevier, vol. 38(3), pages 587-598, December. [Downloadable!] (restricted)
  3. Robin L. Lumsdaine & David H. Papell, 1997. "Multiple Trend Breaks And The Unit-Root Hypothesis," The Review of Economics and Statistics, MIT Press, vol. 79(2), pages 212-218, May. [Downloadable!] (restricted)
  4. Hall, B. & Jaffe, A. & Trajtenberg, M., 2001. "The NBER Patent Citations Data File: Lessons, Insights and Methodological Tools," Papers 2001-29, Tel Aviv.
    Other versions:
  5. Feldman, Maryann P. & Audretsch, David B., 1999. "Innovation in cities:: Science-based diversity, specialization and localized competition," European Economic Review, Elsevier, vol. 43(2), pages 409-429, February. [Downloadable!] (restricted)
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  6. Barro, R.J. & Sala-I-Martin, X., 1991. "Convergence," Papers 645, Yale - Economic Growth Center.
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  7. Carlino, Gerald & Mills, Leonard, 1996. "Are U.S. regional incomes converging? Reply," Journal of Monetary Economics, Elsevier, vol. 38(3), pages 599-601, December. [Downloadable!] (restricted)
  8. Carlino, Gerald A. & Mills, Leonard O., 1993. "Are U.S. regional incomes converging? : A time series analysis," Journal of Monetary Economics, Elsevier, vol. 32(2), pages 335-346, November. [Downloadable!] (restricted)
  9. Bernard, Andrew B. & Durlauf, Steven N., 1996. "Interpreting tests of the convergence hypothesis," Journal of Econometrics, Elsevier, vol. 71(1-2), pages 161-173. [Downloadable!] (restricted)
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  10. Fujita, Masahisa & Thisse, Jacques-Francois, 1996. "Economics of Agglomeration," Journal of the Japanese and International Economies, Elsevier, vol. 10(4), pages 339-378, December. [Downloadable!] (restricted)
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  11. Adam B. Jaffe & Manuel Trajtenberg & Rebecca Henderson, 1992. "Geographic Localization of Knowledge Spillovers as Evidenced by Patent Citations," NBER Working Papers 3993, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
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  12. Zivot, Eric & Andrews, Donald W K, 1992. "Further Evidence on the Great Crash, the Oil-Price Shock, and the Unit-Root Hypothesis," Journal of Business & Economic Statistics, American Statistical Association, vol. 10(3), pages 251-70, July.
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  13. Bernard, Andrew B & Durlauf, Steven N, 1995. "Convergence in International Output," Journal of Applied Econometrics, John Wiley & Sons, Ltd., vol. 10(2), pages 97-108, April-Jun. [Downloadable!] (restricted)
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Full references

Cited by:
(explanations, Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.)

  1. John S. Landon-Lane & Catherine Y. Co & Myeong-Su Yun, 2006. "Inter-state dynamics of invention activities, 1930-2000," Journal of Applied Econometrics, John Wiley & Sons, Ltd., vol. 21(8), pages 1111-1134. [Downloadable!]
    Other versions:
  2. Catherine Y. Co & John A. List, 2004. "Is foreign direct investment attracted to 'knowledge creators'?," Applied Economics, Taylor and Francis Journals, vol. 36(11), pages 1143-1149, June. [Downloadable!] (restricted)
  3. Habibullah, M.S. & Dayang-Afizzah, A.M., 2008. "Bordering neighbours: Testing for border effect on Malaysia's northern states and Southern Thailand," MPRA Paper 12103, University Library of Munich, Germany. [Downloadable!]
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