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Knowledge Complementarity and Fungeability: Implications for Regional Strategy

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Cristiano Antonelli

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Abstract

A NTONELLI C. (2003) Knowledge complementarity and fungeability: implications for regional strategy, Reg. Studies 37 , 595-606. Complexity and fungeability are two specific aspects of knowledge indivisibility. Complexity matters when the production of new knowledge requires the combination of diverse and yet complementary bits of knowledge. Fungeability is found when some units of knowledge can apply in a variety of different contexts, different products and different processes. Both knowledge complexity and knowledge fungeability are the cause of increasing returns in the generation of knowledge. The governance of the distribution of knowledge instead is affected by decreasing returns to the variety of elements of knowledge. Exchanges in the markets for knowledge are limited by transaction costs. Internalization of different bits of knowledge is constrained by coordination costs. Firms can take advantage of knowledge complexity and fungeability by means of networking in regional space. A NTONELLI C. (2003) Les connaissances complémentaires et fongibles: des retombées pour la politique ré gionale, Reg. Studies 37 , 595-606. L'indivisibilité de la connaissance est une notion à la fois complexe et fongible. La notion de complexité importe quand la production de nouvelles connaissances exige la combinaison de brins de connaissance divers mais aussi complémentaires. La notion de fongibilité importe quand des brins de connaissance s' appliquent à toute une gamme de contextes, de produits et de procé dés différents. Et la complexité et la fongibilité de la connaissance causent des rendements croissants dans la production de la connaissance. La gouvernance de la distribution de la connaissance est concernée par des rendements décroissants de divers brins de connaissance. Les é changes dans les marchés de la connaissance sont limités par les frais de transaction. L'intériorisation de divers brins de connaissance est limitée par les coûts de coordination. Les entreprises peuvent profiter de la complexité et de la fongibilité de la connaissance par moyen de la construction de réseaux dans l'espace régional. A NTONELLI C. (2003) Vervollständigung und Auswechselbarkeit von Kenntnissen; Implikationen für Regionalstrategie, Reg. Studies 37 , 595- 606. Komplexität und Auswechselbarkeit sind zwei spezifische Aspekte der Unteilbarkeit des Wissens. Komplexität ist wichtig, wenn das Aufkommen neuer Erkenntnisse die Verbindung verschiedener, doch sich zugleich ergä nzender Wissensteile erfordert. Auswechselbareit tritt auf, wenn Wissenseinheiten in einer Vielfalt verschiedener Zusammenhänge, verschiedener Produkte und verschiedener Prozesse anwendbar sind. Sowohl Komplexität als auch Auswechselbarkeit von Kenntnissen sind Ursache zunehmenden Gewinns bei der Schaffung von Kenntnissen. Die Kontrolle der Verbreitung von Wissen dagegen führt zu abnehmenden Gewinnerfolgen für die Vielfalt der Wissenselemente. Durchführungskosten setzen dem Umtausch auf dem Kenntnismarkt Grenzen, Internalisierung einzelner Wissensteile wird durch Koordinationskosten eingeschränkt. Firmen können sich die Komplexität und Auswechselbarkeit von Kenntnissen durch Rechenverbund im regionalen Raum zu Nutze machen.

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Article provided by Taylor and Francis Journals in its journal Regional Studies.

Volume (Year): 37 (2003)
Issue (Month): 6-7 (August)
Pages: 595-606
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Handle: RePEc:taf:regstd:v:37:y:2003:i:6-7:p:595-606

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Keywords: Indivisibility; Complexity; Fungeability; Supermodularity; Economies Of Scope; Governance; Transaction; Agglomeration; Coordination;

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References listed on IDEAS
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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. Antonelli Cristiano, 2003. "Localized technological change," Dipartimento di Economia "S. Cognetti de Martiis" LEI & BRICK - Laboratorio di economia dell'innovazione "Franco Momigliano", Bureau of Research in Innovation, Complexity and Knowledge, Collegio Carlo 200305, University of Turin. [Downloadable!]
  2. Antonelli Cristiano, 2005. "The governance of localized knowledge: An information economics approach for the economics of knowledge," Dipartimento di Economia "S. Cognetti de Martiis" LEI & BRICK - Laboratorio di economia dell'innovazione "Franco Momigliano", Bureau of Research in Innovation, Complexity and Knowledge, Collegio Carlo 200502, University of Turin. [Downloadable!]
  3. Antonelli Cristiano, 2004. "To use or to sell technological knowledge," Dipartimento di Economia "S. Cognetti de Martiis" LEI & BRICK - Laboratorio di economia dell'innovazione "Franco Momigliano", Bureau of Research in Innovation, Complexity and Knowledge, Collegio Carlo 200405, University of Turin. [Downloadable!]
  4. Ayten Aysen Kaya, 2006. "Regional Specialization And Location Of Industrial Activity In Turkey," Working Papers 0606, Ege University, Department of Economics. [Downloadable!]
  5. Saarivirta, Toni & Consoli, Davide, 2007. "Where Did They Go? A Study on Newly Established Universities and Graduate Mobility in Finland," MPRA Paper 11377, University Library of Munich, Germany. [Downloadable!]
  6. Antonelli Cristiano, 2003. "The governance of technological knowledge: strategies, processes and public policies," Dipartimento di Economia "S. Cognetti de Martiis" LEI & BRICK - Laboratorio di economia dell'innovazione "Franco Momigliano", Bureau of Research in Innovation, Complexity and Knowledge, Collegio Carlo 200306, University of Turin. [Downloadable!]
  7. Pekka Sääskilahti, 2006. "STRATEGIC R&D AND NETWORK COMPATIBILITY †," Economics of Innovation and New Technology, Taylor and Francis Journals, vol. 15(8), pages 711-733, November. [Downloadable!] (restricted)
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