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Tolerance, Agglomeration and Enterprise Innovation Performance: A Multi-Level Analysis of Latin American Regions

Author

Listed:
  • Edward Lorenz

    (Université Nice Sophia Antipolis, France
    GREDEG-CNRS)

  • Jana Schmutzler

    (Universidad de Norte, Colombia
    Bergische Universität Wuppertal, Germany)

Abstract

In this article we examine the effect regional tolerance has on the innovation performance of firms in regions of seven Latin American countries. We hypothesize that tolerance positively influences the innovation performance of firms by attracting human talent and lowering barriers for face-to-face interaction leading to knowledge exchange within a region. This effect is magnified in regions with high agglomeration economies. The empirical analysis which relies on a multilevel design shows that regional differences in tolerance matter for product innovation.
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Suggested Citation

  • Edward Lorenz & Jana Schmutzler, 2015. "Tolerance, Agglomeration and Enterprise Innovation Performance: A Multi-Level Analysis of Latin American Regions," GREDEG Working Papers 2015-43, Groupe de REcherche en Droit, Economie, Gestion (GREDEG CNRS), University of Nice Sophia Antipolis.
  • Handle: RePEc:gre:wpaper:2015-43
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    File URL: http://www.gredeg.cnrs.fr/working-papers/GREDEG-WP-2015-43.pdf
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    References listed on IDEAS

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    More about this item

    Keywords

    human capital; tolerance; innovation; regional development; Latin America;

    JEL classification:

    • 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
    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity

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