IDEAS home Printed from https://ideas.repec.org/p/hal/cesptp/hal-01159523.html
   My bibliography  Save this paper

Research clusters: How public subsidies matter?

Author

Listed:
  • Marie-Laure Cabon-Dhersin

    (CREAM - Centre de Recherche en Economie Appliquée à la Mondialisation - UNIROUEN - Université de Rouen Normandie - NU - Normandie Université - IRIHS - Institut de Recherche Interdisciplinaire Homme et Société - UNIROUEN - Université de Rouen Normandie - NU - Normandie Université)

  • Emmanuelle Taugourdeau

    (CES - Centre d'économie de la Sorbonne - UP1 - Université Paris 1 Panthéon-Sorbonne - CNRS - Centre National de la Recherche Scientifique)

Abstract

This paper investigates the factors underlying the emergence of Research Cluster (RC), i.e. cooperation (or coordination of research efforts) through spatial proximity between public and private research teams. A ‘public lab' and a ‘private lab' interact in a two-stage game to decide on ‘location' and ‘research effort'. A high level of public subsidies associated to a low asymmetry in the ‘valorisation capability' between both labs is necessary for the formation of a cluster. We find that RC performs better than non-cooperation in terms of research efforts in a ‘public lab' (but not in a ‘private lab') and output gains that can be appropriated by each lab.

Suggested Citation

  • Marie-Laure Cabon-Dhersin & Emmanuelle Taugourdeau, 2015. "Research clusters: How public subsidies matter?," Université Paris1 Panthéon-Sorbonne (Post-Print and Working Papers) hal-01159523, HAL.
  • Handle: RePEc:hal:cesptp:hal-01159523
    Note: View the original document on HAL open archive server: https://hal.science/hal-01159523
    as

    Download full text from publisher

    File URL: https://hal.science/hal-01159523/document
    Download Restriction: no
    ---><---

    Other versions of this item:

    References listed on IDEAS

    as
    1. d'Aspremont, Claude & Jacquemin, Alexis, 1988. "Cooperative and Noncooperative R&D in Duopoly with Spillovers," American Economic Review, American Economic Association, vol. 78(5), pages 1133-1137, December.
    2. Beath, John & Owen, Robert F. & Poyago-Theotoky, Joanna & Ulph, David, 2003. "Optimal incentives for income-generation in universities: the rule of thumb for the Compton tax," International Journal of Industrial Organization, Elsevier, vol. 21(9), pages 1301-1322, November.
    3. Veugelers, Reinhilde & Cassiman, Bruno, 2005. "R&D cooperation between firms and universities. Some empirical evidence from Belgian manufacturing," International Journal of Industrial Organization, Elsevier, vol. 23(5-6), pages 355-379, June.
    4. Gilles Duranton, 2007. "Urban Evolutions: The Fast, the Slow, and the Still," American Economic Review, American Economic Association, vol. 97(1), pages 197-221, March.
    5. Belleflamme, Paul & Picard, Pierre & Thisse, Jacques-Francois, 2000. "An Economic Theory of Regional Clusters," Journal of Urban Economics, Elsevier, vol. 48(1), pages 158-184, July.
    6. Nicholas Bloom & Mark Schankerman & John Van Reenen, 2013. "Identifying Technology Spillovers and Product Market Rivalry," Econometrica, Econometric Society, vol. 81(4), pages 1347-1393, July.
    7. Jeffrey Furman & Margaret K. Kyle & Alain Cockburn & Rebecca M. Henderson, 2005. "Public & Private Spillovers: Location and the Productivity of Pharmaceutical Research," Annals of Economics and Statistics, GENES, issue 79-80, pages 165-188.
    8. Duranton, Gilles & Martin, Philippe & Mayer, Thierry & Mayneris, Florian, 2010. "The Economics of Clusters: Lessons from the French Experience," OUP Catalogue, Oxford University Press, number 9780199592203.
    9. Jaffe, Adam B, 1989. "Real Effects of Academic Research," American Economic Review, American Economic Association, vol. 79(5), pages 957-970, December.
    10. Ricardo Biscaia & Isabel Mota, 2013. "Models of spatial competition: A critical review," Papers in Regional Science, Wiley Blackwell, vol. 92(4), pages 851-871, November.
    11. Michael D. König & Xiaodong Liu & Yves Zenou, 2019. "R&D Networks: Theory, Empirics, and Policy Implications," The Review of Economics and Statistics, MIT Press, vol. 101(3), pages 476-491, July.
    12. Lionel Fontagné & Pamina Koenig & Florian Mayneris & Sandra Poncet, 2013. "Cluster Policies And Firm Selection: Evidence From France," Journal of Regional Science, Wiley Blackwell, vol. 53(5), pages 897-922, December.
    13. Wesley M. Cohen & Richard R. Nelson & John P. Walsh, 2003. "Links and Impacts: The Influence of Public Research on Industrial R&D," Chapters, in: Aldo Geuna & Ammon J. Salter & W. Edward Steinmueller (ed.), Science and Innovation, chapter 4, Edward Elgar Publishing.
    14. George Norman & Lynne Pepall, 2004. "Knowledge Spillovers, Mergers and Public Policy in Economic Clusters," Review of Industrial Organization, Springer;The Industrial Organization Society, vol. 25(2), pages 155-174, June.
    15. Joanna Poyago-Theotoky & John Beath & Donald S. Siegel, 2002. "Universities and Fundamental Research: Reflections on the Growth of University--Industry Partnerships," Oxford Review of Economic Policy, Oxford University Press, vol. 18(1), pages 10-21, Spring.
    16. Audretsch, David B. & Lehmann, Erik E. & Warning, Susanne, 2005. "University spillovers and new firm location," Research Policy, Elsevier, vol. 34(7), pages 1113-1122, September.
    17. Attila Varga, 2000. "Local Academic Knowledge Transfers and the Concentration of Economic Activity," Journal of Regional Science, Wiley Blackwell, vol. 40(2), pages 289-309, May.
    18. Falck, Oliver & Heblich, Stephan & Kipar, Stefan, 2010. "Industrial innovation: Direct evidence from a cluster-oriented policy," Regional Science and Urban Economics, Elsevier, vol. 40(6), pages 574-582, November.
    19. Kamien, Morton I & Muller, Eitan & Zang, Israel, 1992. "Research Joint Ventures and R&D Cartels," American Economic Review, American Economic Association, vol. 82(5), pages 1293-1306, December.
    20. Joanna Poyago-Theotoky, 2009. "University-industry technology transfer options: licensing or research joint venture?," Economics Bulletin, AccessEcon, vol. 29(4), pages 2582-2591.
    21. Audretsch, David B, 1998. "Agglomeration and the Location of Innovative Activity," Oxford Review of Economic Policy, Oxford University Press, vol. 14(2), pages 18-29, Summer.
    22. Piga, Claudio & Poyago-Theotoky, Joanna, 2005. "Endogenous R&D spillovers and locational choice," Regional Science and Urban Economics, Elsevier, vol. 35(2), pages 127-139, March.
    23. Vivekananda Mukherjee & Shyama Ramani, 2011. "R&D cooperation in emerging industries, asymmetric innovative capabilities and rationale for technology parks," Theory and Decision, Springer, vol. 71(3), pages 373-394, September.
    24. Amir, Rabah, 2000. "Modelling imperfectly appropriable R&D via spillovers," International Journal of Industrial Organization, Elsevier, vol. 18(7), pages 1013-1032, October.
    25. Najoua Boufaden & Anne Plunket, 2007. "Proximity and Innovation: Do Biotechnology Firms Located in the Paris Region Benefit from Localized Technological Externalities ?," Annals of Economics and Statistics, GENES, issue 87-88, pages 197-220.
    26. Autant-Bernard, Corinne, 2001. "Science and knowledge flows: evidence from the French case," Research Policy, Elsevier, vol. 30(7), pages 1069-1078, August.
    27. Carlo Carraro & Domenico Siniscalco, 2003. "Science Versus Profit in Research," Journal of the European Economic Association, MIT Press, vol. 1(2-3), pages 576-590, 04/05.
    28. Corinne Autant‐Bernard & James P. LeSage, 2011. "Quantifying Knowledge Spillovers Using Spatial Econometric Models," Journal of Regional Science, Wiley Blackwell, vol. 51(3), pages 471-496, August.
    29. Mai, Chao-cheng & Peng, Shin-kun, 1999. "Cooperation vs. competition in a spatial model," Regional Science and Urban Economics, Elsevier, vol. 29(4), pages 463-472, July.
    30. repec:adr:anecst:y:2007:i:87-88:p:10 is not listed on IDEAS
    31. Audretsch, David B. & Bozeman, Barry & Combs, Kathryn L. & Feldman, Maryann & Link, Albert N. & Siegel, Donald S. & Stephan, Paula, 2002. "The Economics of Science and Technology," The Journal of Technology Transfer, Springer, vol. 27(2), pages 155-203, April.
    32. De Bondt, Raymond, 1997. "Spillovers and innovative activities," International Journal of Industrial Organization, Elsevier, vol. 15(1), pages 1-28, February.
    33. Albert N. Link & John T. Scott, 2007. "The economics of university research parks," Oxford Review of Economic Policy, Oxford University Press, vol. 23(4), pages 661-674, Winter.
    34. Michael D. König & Xiaodong Liu & Yves Zenou, 2014. "R&D networks: theory, empirics and policy implications," ECON - Working Papers 142, Department of Economics - University of Zurich.
    35. Corinne Autant-Bernard & James Lesage, 2011. "Quantifying knowledge spillovers using spatial econometric tools," Post-Print halshs-00617709, HAL.
    36. Gersbach, Hans & Schmutzler, Armin, 1999. "External spillovers, internal spillovers and the geography of production and innovation," Regional Science and Urban Economics, Elsevier, vol. 29(6), pages 679-696, November.
    37. Manning Li & Jihong Liu, 2014. "Discussion and Implications," SpringerBriefs in Business, in: Innovative Advisory Services in the Virtual World, edition 127, chapter 0, pages 51-63, Springer.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Marie‐Laure Cabon‐Dhersin & Emmanuelle Taugourdeau, 2018. "Location and research activities organization: Could public/private cooperation be harmful?," Papers in Regional Science, Wiley Blackwell, vol. 97(4), pages 883-907, November.
    2. Marie‐Laure Cabon‐Dhersin & Emmanuelle Taugourdeau, 2018. "Location and research activities organization: Could public/private cooperation be harmful?," Papers in Regional Science, Wiley Blackwell, vol. 97(4), pages 883-907, November.
    3. Marie‐Laure Cabon‐Dhersin & Romain Gibert, 2020. "R&D cooperation, proximity and distribution of public funding between public and private research sectors," Manchester School, University of Manchester, vol. 88(6), pages 773-800, December.
    4. Marie-Laure Cabon-Dhersin & Romain Gibert, 2017. "Cooperation or non-cooperation in R&D: how should research be funded? ," Working Papers hal-01587014, HAL.
    5. Marie-Laure Cabon-Dhersin & Romain Gibert, 2019. "R&D cooperation, proximity and distribution of public funding between public and private research sectors," Working Papers hal-02006489, HAL.
    6. Marie-Laure Cabon-Dhersin & Romain Gibert, 2018. "Cooperation or non-cooperation in R&D: how should research be funded?," Post-Print hal-02006515, HAL.
    7. Samuli Leppälä, 2018. "Theoretical perspectives on localized knowledge spillovers and agglomeration," Papers in Regional Science, Wiley Blackwell, vol. 97(3), pages 467-484, August.
    8. B.G. Jean Jacques Iritié, 2018. "Economic issues of innovation clusters-based industrial policy: a critical overview," Global Business and Economics Review, Inderscience Enterprises Ltd, vol. 20(3), pages 286-307.
    9. Bettina Becker, 2013. "The Determinants of R&D Investment: A Survey of the Empirical Research," Discussion Paper Series 2013_09, Department of Economics, Loughborough University, revised Sep 2013.
    10. Iritié, B. G. Jean-Jacques, 2014. "Enjeux des politiques industrielles basées sur les clusters d'innovation: cas des pôles de compétitivité [Issues of Innovative Clusters-based Industrial Policy: Case of Pole of Competitiveness]," MPRA Paper 54429, University Library of Munich, Germany.
    11. Rabah Amir & Evangelia Chalioti & Christine Halmenschlager, 2021. "University–firm competition in basic research: Simultaneous versus sequential moves," Journal of Public Economic Theory, Association for Public Economic Theory, vol. 23(6), pages 1199-1219, December.
    12. Chrysovalantou Milliou, 2009. "Endogenous protection of R&D investments," Canadian Journal of Economics/Revue canadienne d'économique, John Wiley & Sons, vol. 42(1), pages 184-205, February.
    13. Müller, Aranja & Zaby, Alexandra K., 2019. "Research joint ventures and technological proximity," Research Policy, Elsevier, vol. 48(5), pages 1187-1200.
    14. Corinne Autant-Bernard, 2015. "Que savons-nous de l’impact économique des parcs scientifiques ? Une revue de la littérature," Working Papers halshs-01211662, HAL.
    15. Veugelers, Reinhilde & Cassiman, Bruno, 2005. "R&D cooperation between firms and universities. Some empirical evidence from Belgian manufacturing," International Journal of Industrial Organization, Elsevier, vol. 23(5-6), pages 355-379, June.
    16. Senyuta, Olena & Žigić, Krešimir, 2016. "Managing spillovers: An endogenous sunk cost approach," Information Economics and Policy, Elsevier, vol. 35(C), pages 45-64.
    17. Beck, Mathias & Junge, Martin & Kaiser, Ulrich, 2017. "Public Funding and Corporate Innovation," IZA Discussion Papers 11196, Institute of Labor Economics (IZA).
    18. Hassine, Haithem Ben & Mathieu, Claude, 2020. "R&D crowding out or R&D leverage effects: An evaluation of the french cluster-oriented technology policy," Technological Forecasting and Social Change, Elsevier, vol. 155(C).
    19. Foray, Dominique & Lissoni, Francesco, 2010. "University Research and Public–Private Interaction," Handbook of the Economics of Innovation, in: Bronwyn H. Hall & Nathan Rosenberg (ed.), Handbook of the Economics of Innovation, edition 1, volume 1, chapter 0, pages 275-314, Elsevier.
    20. Arauzo Carod, Josep Maria & Faggian, Alessandra & Mañé Vernet, Ferran, 2010. "Internal and External Determinants of Radical and incremental Innovation in SMEs: the case of Catalonia," Working Papers 2072/179605, Universitat Rovira i Virgili, Department of Economics.

    More about this item

    Keywords

    research cooperation; spatial location; public subsidy; coopération de recherche; localisation; subvention publique;
    All these keywords.

    JEL classification:

    • C7 - Mathematical and Quantitative Methods - - Game Theory and Bargaining Theory
    • H2 - Public Economics - - Taxation, Subsidies, and Revenue
    • H4 - Public Economics - - Publicly Provided Goods
    • L3 - Industrial Organization - - Nonprofit Organizations and Public Enterprise
    • L5 - Industrial Organization - - Regulation and Industrial Policy
    • O3 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:hal:cesptp:hal-01159523. See general information about how to correct material in RePEc.

    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 CitEc recognized a bibliographic reference but did not link an item in RePEc 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 RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: CCSD (email available below). General contact details of provider: https://hal.archives-ouvertes.fr/ .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.