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The Location of Industry R&D and the Location of University R&D - How are They related?

Author

Listed:
  • Karlsson, Charlie

    (CESIS - Centre of Excellence for Science and Innovation Studies, Royal Institute of Technology)

  • Andersson, Martin

    (CESIS - Centre of Excellence for Science and Innovation Studies, Royal Institute of Technology)

Abstract

During the years, a large number of formal studies have presented evidences of a positive impact of university R&D on firm performance in general and on the location of industrial R&D, in particular. The question is does it also work the other way around? Does industrial R&D function as an attractor for university R&D? What are the behavioural relationships between industrial R&D and university R&D and vice versa? The fact that knowledge flows seem to be spatially bounded implies that proximity matters for the relationships between industrial and university R&D. We argue that spatial proximity should be measured using accessibility measures. Furthermore, accessibility measures can be used to model interaction opportunities at different spatial scales: local, intra-regional and inter-regional. Against this background, the purpose of this paper is to analyse the locational relationship between industry R&D and university R&D in Sweden using a simultaneous equation approach. Our results indicate that the location of industrial R&D is quite sensitive to the location of university R&D, and that the location of university R&D is sensitive to the location of industrial R&D. However, the latter result is achieved only when we take away one outlier in the data.

Suggested Citation

  • Karlsson, Charlie & Andersson, Martin, 2005. "The Location of Industry R&D and the Location of University R&D - How are They related?," Working Paper Series in Economics and Institutions of Innovation 38, Royal Institute of Technology, CESIS - Centre of Excellence for Science and Innovation Studies.
    • Handle: RePEc:hhs:cesisp:0038
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    References listed on IDEAS

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    1. Nelson, Richard R, 1986. "Institutions Supporting Technical Advance in Industry," American Economic Review, American Economic Association, vol. 76(2), pages 186-189, May.
    2. David C. Mowery & Arvids A. Ziedonis, 2001. "The Geographic Reach of Market and Non-Market Channels of Technology Transfer: Comparing Citations and Licenses of University Patents," NBER Working Papers 8568, National Bureau of Economic Research, Inc.
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    Cited by:

    1. Julio M. Rosa & Pierre Mohnen, 2007. "Knowledge Transfers between Canadian Business Enterprises and Universities: Does Distance Matter?," Annals of Economics and Statistics, GENES, issue 87-88, pages 303-323.
    2. Laura Abramovsky & Helen Simpson, 2011. "Geographic proximity and firm--university innovation linkages: evidence from Great Britain," Journal of Economic Geography, Oxford University Press, vol. 11(6), pages 949-977, November.
    3. Jiewang Chu & Jiaxuan Li, 2022. "The Composition and Operation Mechanism of Digital Entrepreneurial Ecosystem: A Study of Hangzhou Yunqi Town as an Example," Sustainability, MDPI, vol. 14(24), pages 1-19, December.
    4. Tim Buyse & Freddy Heylen & Ruben Schoonackers, 2015. "On The Role Of Public Policies And Wage Formation For Private Investment In R&D: A Long-Run Panel Analysis," Working Papers of Faculty of Economics and Business Administration, Ghent University, Belgium 15/911, Ghent University, Faculty of Economics and Business Administration.
    5. Hugo Erken & Marcel Kleijn, 2010. "Location factors of international R&D activities: an econometric approach," Economics of Innovation and New Technology, Taylor & Francis Journals, vol. 19(3), pages 203-232.
    6. Cristian Barra & Ornella Wanda Maietta & Roberto Zotti, 2017. "First, Second and Third Tier Universities: Academic Excellence, Local Knowledge Spillovers and Innovation in Europe," CSEF Working Papers 468, Centre for Studies in Economics and Finance (CSEF), University of Naples, Italy.
    7. Karbowski Adam & Prokop Jacek, 2020. "The Impact of Patents and R&D Cooperation on R&D Investments in a Differentiated Goods Industry," South East European Journal of Economics and Business, Sciendo, vol. 15(1), pages 122-133, June.
    8. Charlie Karlsson & Börje Johansson, 2012. "Knowledge, Creativity and Regional Development," Chapters, in: Charlie Karlsson & Börje Johansson & Roger R. Stough (ed.), The Regional Economics of Knowledge and Talent, chapter 2, Edward Elgar Publishing.
    9. Ana Condeço-Melhorado & Aura Reggiani & Javier Gutiérrez (ed.), 2014. "Accessibility and Spatial Interaction," Books, Edward Elgar Publishing, number 15267.
    10. Dirk Engel & Michael Rothgang & Verena Eckl, 2016. "Systemic aspects of R&D policy subsidies for R&D collaborations and their effects on private R&D," Industry and Innovation, Taylor & Francis Journals, vol. 23(2), pages 206-222, February.
    11. Urban Gråsjö & Charlie Karlsson, 2014. "Accessibility: an underused analytical and empirical tool in spatial economics," Chapters, in: Ana Condeço-Melhorado & Aura Reggiani & Javier Gutiérrez (ed.), Accessibility and Spatial Interaction, chapter 11, pages 211-236, Edward Elgar Publishing.
    12. Laura Abramovsky & Rupert Harrison & Helen Simpson, 2007. "University Research and the Location of Business R&D," Economic Journal, Royal Economic Society, vol. 117(519), pages 114-141, March.
    13. 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.
    14. Karlsson, Charlie & Rouchy, Philippe, 2015. "Regional Economic Development, Social Capital and Governance: A Buchanian Approach," Working Paper Series in Economics and Institutions of Innovation 390, Royal Institute of Technology, CESIS - Centre of Excellence for Science and Innovation Studies.

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    More about this item

    Keywords

    R&D; Industry; University; Accessibility; Location;
    All these keywords.

    JEL classification:

    • C30 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - General
    • H50 - Public Economics - - National Government Expenditures and Related Policies - - - General
    • I23 - Health, Education, and Welfare - - Education - - - Higher Education; Research Institutions
    • L10 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - General
    • O30 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - General
    • R10 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - General

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