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Something New: Where do new industries come from?

Author

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  • Feldman, Maryann

    (Department of Public Policy, University of North Carolina at Chapel Hill, Chapel Hill, NC, USA)

  • Tavassoli, Sam

    (CITR, Blekinge Inst of Technology)

Abstract

The focus of this paper is on the question of how new industries originate in places. There is often confusion between the process of diffusion and the locational factors that give rise to early stage creative discovery. There is a long and distinguished literature that considers the diffusion of ideas. Diffusion is important as it influences the general uptake and implementation of ideas across geography but it is a different process than our focus here. We advance the argument that the creation of new industries is a process that has inherently geographic features. Something new is created out of prior knowledge but a more complex process is required to develop an industry and reap the economic benefits.

Suggested Citation

  • Feldman, Maryann & Tavassoli, Sam, 2014. "Something New: Where do new industries come from?," Working Papers 2014/02, Blekinge Institute of Technology, Department of Industrial Economics.
  • Handle: RePEc:hhs:bthcsi:2014-002
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    1. Potts, Jason & Kastelle, Tim, 2017. "Economics of innovation in Australian agricultural economics and policy," Economic Analysis and Policy, Elsevier, vol. 54(C), pages 96-104.
    2. Tavassoli, Sam & Karlsson, Charlie, 2021. "The role of location on complexity of firms’ innovation outcome," Technological Forecasting and Social Change, Elsevier, vol. 162(C).

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    More about this item

    Keywords

    new industries; Schmookler scissor; locational factors;
    All these keywords.

    JEL classification:

    • N90 - Economic History - - Regional and Urban History - - - General, International, or Comparative
    • O18 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Urban, Rural, Regional, and Transportation Analysis; Housing; Infrastructure
    • O33 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Technological Change: Choices and Consequences; Diffusion Processes
    • 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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