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Local Factors and Innovativeness – An Empirical Analysis of German Patents for Five Industries

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Author Info
T. Broekel ()
T. Brenner ()

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Abstract

A growing body of work emphasizes the role that the spatial component plays in the in the innovation process. These perspectives brought the region's infrastructure and its endowment with crucial factors into the focus of research. Given that these factors do significantly influence the innovativeness of local firms, it is important to identify precisely which regional characteristics matter. The aim of this paper is to identify a number of key influences out of a multitude of structural factors that are thought to influence the firm's innovation activity. We examine more than eighty variables that approximate the financial, geographical and social-economic factor endowment of a region. The variables are tested with a linear and log - linear model. The two staged procedure examines the variable's bivariate correlation with patent data of five industries. Based on these outcomes multivariate regression models are applied in the second stage. The results for the different models are compared and their advantages and disadvantages are discussed. We find a strong impact of economic agglomeration, extramural science institutions and human capital. In the case of human capital, especially the graduates at the technical colleges are collocated with high regional innovativeness. Furthermore, significant differences are observed for the five industries and for using the two models.

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Paper provided by Max Planck Institute of Economics, Evolutionary Economics Group in its series Papers on Economics and Evolution with number 2005-09.

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Length: 39 pages
Date of creation: Aug 2005
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Handle: RePEc:esi:evopap:2005-09

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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. T. Brenner, 2003. "The Dependence of Innovativeness on the Local Firm Population - An Empirical Study of German Patents," Papers on Economics and Evolution 2003-06, Max Planck Institute of Economics, Evolutionary Economics Group.
  2. Beise, Marian & Stahl, Harald, 1999. "Public research and industrial innovations in Germany," Research Policy, Elsevier, vol. 28(4), pages 397-422, April. [Downloadable!] (restricted)
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  3. Audretsch, David B, 1998. "Agglomeration and the Location of Innovative Activity," CEPR Discussion Papers 1974, C.E.P.R. Discussion Papers. [Downloadable!] (restricted)
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  4. Karl Brenke & Kurt Geppert & Rainer Hopf & Ingo Pfeiffer & Katharina C. Spieß & Dieter Vesper & Gert G. Wagner, 2002. "Bausteine für die Zukunft Berlins," Wochenbericht, DIW Berlin, German Institute for Economic Research, vol. 69(10), pages 163-180.
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(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. Tom Broekel, 2007. "A Concordance between Industries and Technologies Matching the technological fields of the Patentatlas to the German Industry Classification," Jena Economic Research Papers in Economics 2007-041, Friedrich-Schiller-University Jena, Max-Planck-Institute of Economics, Thueringer Universitaets- und Landesbibliothek. [Downloadable!]
  2. Tom Broekel & Thomas Brenner, 2007. "Measuring Regional Innovativeness - A Methodological Discussion and an Application to One German Industry," Jena Economic Research Papers in Economics 2007-065, Friedrich-Schiller-University Jena, Max-Planck-Institute of Economics, Thueringer Universitaets- und Landesbibliothek. [Downloadable!]
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