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What determines the Success of States in the SBIR Programme?

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Author Info

  • A. van der Vlist

    ()
    (Vrije Universiteit Amsterdam)

  • Shelby Gerking

    (University of Wyoming)

  • Henk Folmer

    (Wageningen Agricultural University and Tilburg University)

Abstract

This paper analyzes the interstate distribution of awards made through the SmallBusiness Innovation Research (SBIR) Program operated by the U.S federalgovernment. The main finding is that awards tend to be made to firms in centersof innovative activity, where knowledge is most easily created and spilloversbetween economic agents can occur most readily. State programs to assistprospective applicants for SBIR funding, on the other hand, appear to have hadlittle effect in overcoming this seemingly powerful factor. Thus, thepercentage distribution of awards by state has remained roughly constant sincethe inception of the program. A possible implication of these results is thatthe SBIR program may exacerbate interstate differences in economic growth to theextent that growth of states is associated with their ability to create newknowledge.

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File URL: http://papers.tinbergen.nl/00096.pdf
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Bibliographic Info

Paper provided by Tinbergen Institute in its series Tinbergen Institute Discussion Papers with number 00-096/3.

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Date of creation: 16 Nov 2000
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Handle: RePEc:dgr:uvatin:20000096

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Web page: http://www.tinbergen.nl

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  1. 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.
  2. Romer, Paul M, 1986. "Increasing Returns and Long-run Growth," Journal of Political Economy, University of Chicago Press, vol. 94(5), pages 1002-37, October.
  3. Henderson, Vernon & Kuncoro, Ari & Turner, Matt, 1995. "Industrial Development in Cities," Journal of Political Economy, University of Chicago Press, vol. 103(5), pages 1067-90, October.
  4. Audretsch, David B & Feldman, Maryann P, 1996. "R&D Spillovers and the Geography of Innovation and Production," American Economic Review, American Economic Association, vol. 86(3), pages 630-40, June.
  5. Lerner, Josh, 1999. "The Government as Venture Capitalist: The Long-Run Impact of the SBIR Program," The Journal of Business, University of Chicago Press, vol. 72(3), pages 285-318, July.
  6. Vernon Henderson, 1995. "Effects of Air Quality Regulation," NBER Working Papers 5118, National Bureau of Economic Research, Inc.
  7. Lucas, Robert Jr., 1988. "On the mechanics of economic development," Journal of Monetary Economics, Elsevier, vol. 22(1), pages 3-42, July.
  8. Anselin, Luc & Varga, Attila & Acs, Zoltan, 1997. "Local Geographic Spillovers between University Research and High Technology Innovations," Journal of Urban Economics, Elsevier, vol. 42(3), pages 422-448, November.
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