Labor Mobility from Academe to Commerce
Breakthroughs with natural excludability are transferred to industry by top academic scientists (stars) working in or with firms. Movement to firms depends on scientists' quality, moving costs, and reservation wage. Scientists' quality, moving costs, trial frequency, interfering academic offers, and productivity of stars already in firms determine reservation wage. In group-duration analysis for biotechnology, stars move to firms faster as their quality, human focus, and outside coauthorships increase; local firms and productivity of local stars in firms increase; and top local universities decrease. Stars move to firms full or part time similarly, but significance drops for rarer full-time moves.
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