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The Origins of Entrants and the Geography of the German Laser Industry

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  • Guido Buenstorf

    ()

  • Matthias Geissler

    ()

Abstract

Entry into an industry often clusters in regions where the industry is already concentrated, which is suggestive of agglomeration economies. Regional public research activities may exert another attracting force on entrants into science-based industries. Empirically these proximity effects are confounded by other influences on where entrants originate and locate. This paper begins to disentangle the effects of agglomeration, public research, and the supply of capable entrants for the German laser industry. Our findings indicate that the industry’s geography was shaped by the local availability of potential entrants rather than localization economies. The impact of public research increased over time.

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Bibliographic Info

Paper provided by Philipps University Marburg, Department of Geography in its series Papers on Economics and Evolution with number 2008-14.

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Date of creation: Dec 2008
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Handle: RePEc:esi:evopap:2008-14

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Keywords: Industry clusters; agglomeration economies; public research; entry; heritage Length 29 pages;

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  1. BELLEFLAMME, Paul & PICARD, Pierre & THISSE, Jacques-François, . "An economic theory of regional clusters," CORE Discussion Papers RP, Université catholique de Louvain, Center for Operations Research and Econometrics (CORE) -1464, Université catholique de Louvain, Center for Operations Research and Econometrics (CORE).
  2. Buenstorf, Guido & Klepper, Steven, 2010. "Why does entry cluster geographically? Evidence from the US tire industry," Journal of Urban Economics, Elsevier, vol. 68(2), pages 103-114, September.
  3. Guido Buenstorf, 2006. "Evolution on the Shoulders of Giants: Entrepreneurship and Firm Survival in the German Laser Industry," Papers on Economics and Evolution, Philipps University Marburg, Department of Geography 2005-20, Philipps University Marburg, Department of Geography.
  4. Audretsch, David B. & Lehmann, Erik E. & Warning, Susanne, 2005. "University spillovers and new firm location," Research Policy, Elsevier, Elsevier, vol. 34(7), pages 1113-1122, September.
  5. Guido Buenstorf & Steven Klepper, 2005. "Heritage and Agglomeration: The Akron Tire Cluster Revisited," Papers on Economics and Evolution, Philipps University Marburg, Department of Geography 2005-08, Philipps University Marburg, Department of Geography.
  6. Guido Buenstorf & Christina Guenther, 2007. "No place like home? Location choice and firm survival after forced relocation in the German machine tool industry," Jena Economic Research Papers, Friedrich-Schiller-University Jena, Max-Planck-Institute of Economics 2007-053, Friedrich-Schiller-University Jena, Max-Planck-Institute of Economics.
  7. Blind, Knut & Grupp, Hariolf, 1999. "Interdependencies between the science and technology infrastructure and innovation activities in German regions: empirical findings and policy consequences," Research Policy, Elsevier, Elsevier, vol. 28(5), pages 451-468, June.
  8. Carlton, Dennis W, 1983. "The Location and Employment Choices of New Firms: An Econometric Model with Discrete and Continuous Endogenous Variables," The Review of Economics and Statistics, MIT Press, vol. 65(3), pages 440-49, August.
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Cited by:
  1. Koen Frenken & Elena Cefis & Erik Stam, 2013. "Industrial dynamics and clusters: a survey," Working Papers, Utrecht School of Economics 13-11, Utrecht School of Economics.
  2. Luis F. Medrano E., 2012. "Patent Citations, University Inventor Patents, and Survival in the German Laser Source Industry (1960-2005)," Jena Economic Research Papers, Friedrich-Schiller-University Jena, Max-Planck-Institute of Economics 2012-009, Friedrich-Schiller-University Jena, Max-Planck-Institute of Economics.
  3. Guido Buenstorf & Michael Fritsch & Luis Medrano, 2010. "Regional Knowledge and the Emergence of an Industry: Laser Systems Production in West Germany, 1975Ð2005," Papers in Evolutionary Economic Geography (PEEG), Utrecht University, Section of Economic Geography 1016, Utrecht University, Section of Economic Geography, revised Nov 2010.
  4. Koen Frenken & Elena Cefis & Erik Stam, 2011. "Industrial dynamics and economic geography: a survey," Eindhoven Center for Innovation Studies (ECIS) working paper series, Eindhoven Center for Innovation Studies (ECIS) 11-07, Eindhoven Center for Innovation Studies (ECIS).

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