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Another cluster premium: Innovation subsidies and R&D collaboration networks

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  • Tom Broekel
  • Dirk Fornahl
  • Andrea Morrison

Abstract

This paper investigates the allocation of R&D subsidies with a focus on the granting success of firms located in clusters. On this basis it is evaluated whether firms in these clusters are differently embedded into networks of subsidized R&D collaboration than firms located elsewhere. The theoretical arguments are empirically tested using the example of the German biotechnology firms’ participation in the 6th EU-Framework Programmes and national R&D subsidization schemes in the early 2000s. We show that clusters grant firms another premium to their location, as they are more likely to receive funds from the EU-Framework Programmes and hold more favourable positions in national knowledge networks based on subsidies for joint R&D.

Suggested Citation

  • Tom Broekel & Dirk Fornahl & Andrea Morrison, 2015. "Another cluster premium: Innovation subsidies and R&D collaboration networks," Papers in Evolutionary Economic Geography (PEEG) 1514, Utrecht University, Department of Human Geography and Spatial Planning, Group Economic Geography, revised May 2015.
  • Handle: RePEc:egu:wpaper:1514
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    Cited by:

    1. Cantner, Uwe & Graf, Holger & Herrmann, Johannes & Kalthaus, Martin, 2016. "Inventor networks in renewable energies: The influence of the policy mix in Germany," Research Policy, Elsevier, vol. 45(6), pages 1165-1184.
    2. Lucena-Piquero, D. & Vicente, Jérôme, 2019. "The visible hand of cluster policy makers: An analysis of Aerospace Valley (2006-2015) using a place-based network methodology," Research Policy, Elsevier, vol. 48(3), pages 830-842.
    3. repec:eee:respol:v:47:y:2018:i:3:p:674-685 is not listed on IDEAS
    4. repec:wsi:ijitmx:v:14:y:2017:i:04:n:s0219877017500171 is not listed on IDEAS
    5. Tom Broekel & Lars Mewes, 2017. "Analyzing the impact of R&D policy on regional diversification," Papers in Evolutionary Economic Geography (PEEG) 1726, Utrecht University, Department of Human Geography and Spatial Planning, Group Economic Geography, revised Sep 2017.
    6. repec:eee:techno:v:80-81:y:2019:i::p:40-53 is not listed on IDEAS
    7. Mitze, Timo & Strotebeck, Falk, 2017. "Modeling interregional research collaborations in German biotechnology using industry directory data: A quantitative social network analysis," MPRA Paper 83392, University Library of Munich, Germany.
    8. Fritsch, Michael & Piontek, Matthias & Titze, Mirko, 2019. "Identifying cooperation for innovation: A comparison of data sources," IWH Discussion Papers 1/2019, Halle Institute for Economic Research (IWH).

    More about this item

    Keywords

    Innovation policy; R&D subsidy; collaboration networks; embeddedness; technology cluster;

    JEL classification:

    • R11 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Regional Economic Activity: Growth, Development, Environmental Issues, and Changes
    • O33 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Technological Change: Choices and Consequences; Diffusion Processes
    • R58 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Regional Government Analysis - - - Regional Development Planning and Policy
    • D85 - Microeconomics - - Information, Knowledge, and Uncertainty - - - Network Formation

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