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Clusters of Entrepreneurship and Innovation

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  • Aaron Chatterji
  • Edward L. Glaeser
  • William R. Kerr

Abstract

This paper reviews recent academic work on the spatial concentration of entrepreneurship and innovation in the United States. We discuss rationales for the agglomeration of these activities and the economic consequences of clusters. We identify and discuss policies that are being pursued in the United States to encourage local entrepreneurship and innovation. While arguments exist for and against policy support of entrepreneurial clusters, our understanding of what works and how it works is quite limited. The best path forward involves extensive experimentation and careful evaluation.

Suggested Citation

  • Aaron Chatterji & Edward L. Glaeser & William R. Kerr, 2013. "Clusters of Entrepreneurship and Innovation," NBER Working Papers 19013, National Bureau of Economic Research, Inc.
  • Handle: RePEc:nbr:nberwo:19013
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    Cited by:

    1. Zheng, Liang & Zhao, Zhong, 2017. "What drives spatial clusters of entrepreneurship in China? Evidence from economic census data," China Economic Review, Elsevier, vol. 46(C), pages 229-248.
    2. repec:oup:scippl:v:44:y:2017:i:1:p:13-25. is not listed on IDEAS
    3. Ramana Nanda & Matthew Rhodes-Kropf, 2016. "Financing Entrepreneurial Experimentation," Innovation Policy and the Economy, University of Chicago Press, vol. 16(1), pages 1-23.
    4. Hans K. Hvide & Benjamin F. Jones, 2016. "University Innovation and the Professor's Privilege," NBER Working Papers 22057, National Bureau of Economic Research, Inc.
    5. Carlino, Gerald & Kerr, William R., 2015. "Agglomeration and Innovation," Handbook of Regional and Urban Economics, Elsevier.
    6. Tom Kemeny & Maryann Feldman & Frank Ethridge & Ted Zoller, 2016. "The economic value of local social networks," Journal of Economic Geography, Oxford University Press, vol. 16(5), pages 1101-1122.
    7. David B. Audretsch & Erik E. Lehmann & Matthias Menter, 2016. "Public cluster policy and new venture creation," Economia e Politica Industriale: Journal of Industrial and Business Economics, Springer;Associazione Amici di Economia e Politica Industriale, vol. 43(4), pages 357-381, December.
    8. Yael V. Hochberg, 2016. "Accelerating Entrepreneurs and Ecosystems: The Seed Accelerator Model," Innovation Policy and the Economy, University of Chicago Press, vol. 16(1), pages 25-51.
    9. repec:eee:jbvent:v:33:y:2018:i:4:p:438-454 is not listed on IDEAS
    10. Lauren Lanahan, 2016. "Multilevel public funding for small business innovation: a review of US state SBIR match programs," The Journal of Technology Transfer, Springer, vol. 41(2), pages 220-249, April.
    11. repec:bof:bofrdp:urn:nbn:fi:bof-201512111472 is not listed on IDEAS
    12. Gilles Duranton & William R. Kerr, 2015. "The Logic of Agglomeration," NBER Working Papers 21452, National Bureau of Economic Research, Inc.
    13. Boockmann Bernhard & Buch Claudia M. & Schnitzer Monika, 2014. "Evidenzbasierte Wirtschaftspolitik in Deutschland: Defizite und Potentiale," Perspektiven der Wirtschaftspolitik, De Gruyter, vol. 15(4), pages 307-323, December.
    14. Nathan Goldschlag & Julia Lane & Bruce Weinberg & Nikolas Zolas, 2017. "Proximity and Economic Activity: An Analysis of Vendor‐University Transactions," NBER Working Papers 23018, National Bureau of Economic Research, Inc.
    15. Goldschlag, Nathan & Bianchini, Stefano & Lane, Julia & SanMartin Sola, Joseba & Weinberg, Bruce A., 2016. "Research Funding and Regional Economies," IZA Discussion Papers 10081, Institute for the Study of Labor (IZA).
    16. Roig-Tierno, Norat & Alcázar, Joaquín & Ribeiro-Navarrete, Samuel, 2015. "Use of infrastructures to support innovative entrepreneurship and business growth," Journal of Business Research, Elsevier, vol. 68(11), pages 2290-2294.
    17. Yael V. Hochberg, 2015. "Accelerating Entrepreneurs and Ecosystems: The Seed Accelerator Model," NBER Chapters,in: Innovation Policy and the Economy, Volume 16, pages 25-51 National Bureau of Economic Research, Inc.
    18. repec:scm:ecofrm:v:5:y:2016:i:2:p:48 is not listed on IDEAS
    19. Emma Howard & Carol Newman & Finn Tarp, 2016. "Measuring industry coagglomeration and identifying the driving forces," Journal of Economic Geography, Oxford University Press, vol. 16(5), pages 1055-1078.
    20. Glaeser, Edward & Joshi-Ghani, Abha, 2013. "Rethinking Cities: Toward Shared Prosperity," World Bank - Economic Premise, The World Bank, issue 126, pages 1-14, October.
    21. Sari Pekkala Kerr & William R. Kerr & Tina Xu, 2017. "Personality Traits of Entrepreneurs: A Review of Recent Literature," NBER Working Papers 24097, National Bureau of Economic Research, Inc.
    22. Winters, John V., 2014. "Foreign and Native-Born STEM Graduates and Innovation Intensity in the United States," IZA Discussion Papers 8575, Institute for the Study of Labor (IZA).
    23. Nathan, Max & Vandore, Emma, 2013. "Here be startups: exploring a young digital cluster in inner East London," LSE Research Online Documents on Economics 58424, London School of Economics and Political Science, LSE Library.

    More about this item

    JEL classification:

    • H70 - Public Economics - - State and Local Government; Intergovernmental Relations - - - General
    • L26 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - Entrepreneurship
    • L52 - Industrial Organization - - Regulation and Industrial Policy - - - Industrial Policy; Sectoral Planning Methods
    • L53 - Industrial Organization - - Regulation and Industrial Policy - - - Enterprise Policy
    • M13 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Business Administration - - - New Firms; Startups
    • O25 - Economic Development, Innovation, Technological Change, and Growth - - Development Planning and Policy - - - Industrial Policy
    • O38 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Government Policy
    • R00 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General - - - General
    • R10 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - General
    • R12 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Size and Spatial Distributions of Regional Economic Activity; Interregional Trade (economic geography)
    • R50 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Regional Government Analysis - - - General

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