Clusters: Determinants and Effects
AbstractThis memorandum surveys the empirical literature about the effects and determinants of clusters. It finds that clusters generally lead to more innovations, knowledge spillovers, faster diffusion of technologies and knowledge, and competitive advantages. The presence of a skilled labour force is the most important determinant for clusters. Other important factors for the existence of clusters are economies of scale and scope, knowledge spillovers, and competition from foreign competitors. Clusters appear to be especially important for small firms. Surprisingly, there is relatively little cooperation between these firms. Even though clusters are generally located near a knowledge institution, there is also relatively little cooperation between the cluster and the knowledge institution. Since clusters need skilled labour and competition, a good cluster policy may be no cluster policy at all. Instead, the government should look after an education system that produces a highly educated and skilled workforce, and stimulate competition by (further) opening markets to foreign competitors.
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
Bibliographic InfoPaper provided by CPB Netherlands Bureau for Economic Policy Analysis in its series CPB Memorandum with number 17.
Date of creation: Aug 2001
Date of revision:
Find related papers by JEL classification:
- L1 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance
- O3 - Economic Development, Technological Change, and Growth - - Technological Change; Research and Development; Intellectual Property Rights
This paper has been announced in the following NEP Reports:
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.:
- Audretsch, David B & Vivarelli, Marco, 1994.
"Small Firms and R&D Spillovers: Evidence from Italy,"
CEPR Discussion Papers
927, C.E.P.R. Discussion Papers.
- David B. Audretsch & Marco Vivarelli, 1994. "Small firms and R&D spillovers : Evidence from Italy," Revue d'Économie Industrielle, Programme National Persée, vol. 67(1), pages 225-237.
- Audretsch, David B & Feldman, Maryann P, 1995. "Innovative Clusters and the Industry Life Cycle," CEPR Discussion Papers 1161, C.E.P.R. Discussion Papers.
- Alex R. Hoen, 2001. "An International Comparison of National Clusters," ERSA conference papers ersa01p27, European Regional Science Association.
- Masahisa Fujita & Paul Krugman & Anthony J. Venables, 2001. "The Spatial Economy: Cities, Regions, and International Trade," MIT Press Books, The MIT Press, edition 1, volume 1, number 0262561476, December.
- Egbert Wever & Erik Stam, 1999. "Clusters of High Technology SMEs: The Dutch Case," Regional Studies, Taylor & Francis Journals, vol. 33(4), pages 391-400.
- Griliches, Zvi, 1990.
"Patent Statistics as Economic Indicators: A Survey,"
Journal of Economic Literature,
American Economic Association, vol. 28(4), pages 1661-1707, December.
- Zvi Griliches, 1998. "Patent Statistics as Economic Indicators: A Survey," NBER Chapters, in: R&D and Productivity: The Econometric Evidence, pages 287-343 National Bureau of Economic Research, Inc.
- Zvi Griliches, 1990. "Patent Statistics as Economic Indicators: A Survey," NBER Working Papers 3301, National Bureau of Economic Research, Inc.
- Buiren, K. & Brouwer, E., 2010. "Determinants of State Aid," Discussion Paper 2010-005, Tilburg University, Tilburg Law and Economic Center.
- Baptista, Rui & Swann, Peter, 1998. "Do firms in clusters innovate more?," Research Policy, Elsevier, vol. 27(5), pages 525-540, September.
- Arnoud Muizer & Arnoud Muizer & Gert Jan Hospers & Gert Jan Hospers, 2000. "SMEs in regional industry clusters," Scales Research Reports B199904, EIM Business and Policy Research.
- M. Ishaq Nadiri, 1993. "Innovations and Technological Spillovers," NBER Working Papers 4423, National Bureau of Economic Research, Inc.
- Jaffe, Adam B & Trajtenberg, Manuel & Henderson, Rebecca, 1993.
"Geographic Localization of Knowledge Spillovers as Evidenced by Patent Citations,"
The Quarterly Journal of Economics,
MIT Press, vol. 108(3), pages 577-98, August.
- 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.
- Jaffe, A.B. & Trajtenberg, M., 1992. "Geographic Localization of Knowledge Spillovers as Evidenced by Patent Citations," Papers 14-92, Tel Aviv.
- Dick Snel & Henriëtte Hulshoff, 1998. "Technologische samenwerking in de industrie en de zakelijke diensten," Scales Research Reports A199809, EIM Business and Policy Research.
- Hagedoorn, John & Link, Albert N. & Vonortas, Nicholas S., 2000. "Research partnerships1," Research Policy, Elsevier, vol. 29(4-5), pages 567-586, April.
- Baptista, Rui, 2000. "Do innovations diffuse faster within geographical clusters?," International Journal of Industrial Organization, Elsevier, vol. 18(3), pages 515-535, April.
- Mansfield, Edwin, et al, 1977. "Social and Private Rates of Return from Industrial Innovations," The Quarterly Journal of Economics, MIT Press, vol. 91(2), pages 221-40, May.
- Rolf Weder & Herbert Grubel, 1993. "The New Growth Theory and Coasean economics: Institutions to capture externalities," Review of World Economics (Weltwirtschaftliches Archiv), Springer, vol. 129(3), pages 488-513, September.
- repec:fth:harver:1473 is not listed on IDEAS
- Jeroen de Jong & Brouwer, 1999. "Determinants of the innovative ability of SMEs," Scales Research Reports B199902, EIM Business and Policy Research.
- Donald R. Davis & David E. Weinstein, 1998.
"Market Access, Economic Geography and Comparative Advantage: An Empirical Assessment,"
Harvard Institute of Economic Research Working Papers
1850, Harvard - Institute of Economic Research.
- Donald R. Davis & David E. Weinstein, 1998. "Market Access, Economic Geography, and Comparative Advantage: An Empirical Assessment," NBER Working Papers 6787, National Bureau of Economic Research, Inc.
- Davis, Donald R. & Weinstein, David E., 2003. "Market access, economic geography and comparative advantage: an empirical test," Journal of International Economics, Elsevier, vol. 59(1), pages 1-23, January.
- Gerben Panne, van der & Wilfred Dolfsma, 2003. "The Geography of Innovativeness - New product announcements in The Netherlands," ERSA conference papers ersa03p334, European Regional Science Association.
- Maria Nowicka-Skowron & Piotr Pachura, 2010. "Theory Of Innovation In Spatial Perspective," Polish Journal of Management Studies, Czestochowa Technical University, Department of Management, vol. 1(1), pages 111-118, May.
- Robles Teigeiro, Luis & Ramos Carvajal, Carmen, 2007. "Una propuesta metodológica para la identificación y evaluación de clusters a partir de tablas Input-Output. Una aplicación para Andalucía/A Methodological Proposal for Getting the Sectorial Clust," Estudios de Economía Aplicada, Estudios de Economía Aplicada, vol. 25, pages 759-790, Diciembre.
- Gerben Van Der Panne & Wilfred Dolfsma, 2003.
"The odd role of proximity in knowledge relations: high-tech in the Netherlands,"
Tijdschrift voor Economische en Sociale Geografie,
Royal Dutch Geographical Society KNAG, vol. 94(4), pages 453-462, 09.
- van der Panne, G. & Dolfsma, W.A., 2002. "The Odd Role Of Proximity In Knowledge Relations - High-Tech In The Netherlands," ERIM Report Series Research in Management ERS-2002-75-ORG, Erasmus Research Institute of Management (ERIM), ERIM is the joint research institute of the Rotterdam School of Management, Erasmus University and the Erasmus School of Economics (ESE) at Erasmus Uni.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: ().
If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.
If references are entirely missing, you can add them using this form.
If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.
If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.
Please note that corrections may take a couple of weeks to filter through the various RePEc services.