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Observational vs. Interactive Learning in Locational Choice: Evidences on ICT Clusters Formation and Stability

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  • Jerome VICENTE (LEREPS-GRES)
  • Raphael SUIRE (CREM)

Abstract

The paper provides new insights into the mechanisms of “ICT clusters” formation. The basic assumption is that clusters can be explained as the result of a locational norm, i.e. as an alignment of locational choices proceeding from both mimetic behaviours and sequential and cumulative interactions. We distinguish informational externalities (and observational learning) from network externalities (and interactive learning) in location processes, in order to compare the respective economic properties of stability of locational cascades and locational clusters. We show as a result that informational effects play a major role in the formation of ICT clusters, whereas network effects are the significant condition of their stability. Silicon Valley and Silicon Sentier (Paris) are briefly studied and compared in order to illustrate our theoretical purpose.

Suggested Citation

  • Jerome VICENTE (LEREPS-GRES) & Raphael SUIRE (CREM), 2004. "Observational vs. Interactive Learning in Locational Choice: Evidences on ICT Clusters Formation and Stability," Cahiers du GRES (2002-2009) 2004-10, Groupement de Recherches Economiques et Sociales.
  • Handle: RePEc:grs:wpegrs:2004-10
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    File URL: http://cahiersdugres.u-bordeaux4.fr/2004/2004-10.pdf
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    Cited by:

    1. Christophe CARRINCAZEAUX (GREThA UMR CNRS 5113), 2009. "Spatial dynamics of innovation (In French)," Cahiers du GREThA 2009-21, Groupe de Recherche en Economie Théorique et Appliquée.

    More about this item

    Keywords

    ICT clusters Informational externalities network externalities stability proximity;

    JEL classification:

    • D83 - Microeconomics - - Information, Knowledge, and Uncertainty - - - Search; Learning; Information and Knowledge; Communication; Belief; Unawareness
    • L86 - Industrial Organization - - Industry Studies: Services - - - Information and Internet Services; Computer Software
    • R12 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Size and Spatial Distributions of Regional Economic Activity; Interregional Trade (economic geography)

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