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A New Sectoral Taxonomy Based On Pecuniary Knowledge Externalities: Knowledge Interactions In A Vertically Integrated System

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  • Agnieszka Gehringer

Abstract

The paper presents a new sectoral taxonomy that focuses on the existence of non-negligible external effects that derive from user--producer knowledge interactions. These are coupled with intermediate goods transactions, in a system of vertically integrated manufacturing and services sectors. These externalities, the so-called pecuniary knowledge externalities, are the main source of changing technological conditions experienced by downstream producers. A distinguishing feature of the taxonomy lies in its derivation from a particularly dynamic context of changing production functions. The taxonomy is empirically derived, examining effects generated by technological knowledge in a system of intermediate goods transactions and taking into account peculiar characteristics of sectors in European economies. The results allow for a classification of sectors in five groups. An analysis of these classes confirms previous evidence that technological characteristics of sectors across classes differ.

Suggested Citation

  • Agnieszka Gehringer, 2012. "A New Sectoral Taxonomy Based On Pecuniary Knowledge Externalities: Knowledge Interactions In A Vertically Integrated System," Economic Systems Research, Taylor & Francis Journals, vol. 24(1), pages 35-55, December.
    • Handle: RePEc:taf:ecsysr:v:24:y:2012:i:1:p:35-55
    DOI: 10.1080/09535314.2011.646959
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    References listed on IDEAS

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    1. Christian DeBresson, 1996. "Economic Interdependence and Innovative Activity," Books, Edward Elgar Publishing, number 870.
    2. Brian Wixted, 2009. "Innovation System Frontiers," Advances in Spatial Science, Springer, number 978-3-540-92786-0, Fall.
    3. Rinaldo Evangelista, 1999. "Knowledge and Investment," Books, Edward Elgar Publishing, number 1402.
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    Cited by:

    1. Antonelli, Cristiano & Gehringer, Agnieszka, 2015. "Knowledge externalities and demand pull: The European evidence," Economic Systems, Elsevier, vol. 39(4), pages 608-631.
    2. Antonelli Cristiano & Gehringer Agnieszka, 2013. "Demand pull and technological flows within innovation systems: the intra-European evidence," Department of Economics and Statistics Cognetti de Martiis. Working Papers 201303, University of Turin.
    3. Cristiano Antonelli & Francesco Crespi & Christian A. Mongeau Ospina & Giuseppe Scellato, 2017. "Knowledge composition, Jacobs externalities and innovation performance in European regions," Regional Studies, Taylor & Francis Journals, vol. 51(11), pages 1708-1720, November.
    4. Agnieszka Gehringer & Inmaculada Martínez-Zarzoso & Felicitas Nowak-Lehmann Danzinger, 2016. "What are the drivers of total factor productivity in the European Union?," Economics of Innovation and New Technology, Taylor & Francis Journals, vol. 25(4), pages 406-434, June.
    5. Gehringer, Agnieszka, 2016. "Knowledge externalities and sectoral interdependences: Evidence from an open economy perspective," Technological Forecasting and Social Change, Elsevier, vol. 102(C), pages 240-249.

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