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The Industrial Innovation Potential of the Regions: Stuttgart and Munich Further Ahead

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  • Alexander Eickelpasch

Abstract

Innovation potential is not only an elementary precondition for economic efficiency and affluence for nations, but also for regions. Measured on R&D employment in the manufacturing industry, regional concentration has continued to remain high since 1998. The regions of Munich and Stuttgart lead by a wide margin. However, the study shows that not only strong regions benefit from structural change but also less favored regions. Conversely, for regions with a leading edge, there is no guarantee of a future leadership role. Urbanized regions have primarily gained. It is noticeable that - apart from exceptions - East Germany lags behind as a research location.

Suggested Citation

  • Alexander Eickelpasch, 2008. "The Industrial Innovation Potential of the Regions: Stuttgart and Munich Further Ahead," Weekly Report, DIW Berlin, German Institute for Economic Research, vol. 4(8), pages 49-57.
  • Handle: RePEc:diw:diwwrp:wr4-8
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    Keywords

    Regional innovation systems; Research and development; Manufacturing;

    JEL classification:

    • R12 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Size and Spatial Distributions of Regional Economic Activity; Interregional Trade (economic geography)
    • O31 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Innovation and Invention: Processes and Incentives
    • R3 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Real Estate Markets, Spatial Production Analysis, and Firm Location

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