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A Model of the Learning Process with Local Knowledge Externalities Illustrated with an Integrated Graphical Framework

Author

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  • Mário Alexandre Silva

    (Faculdade de Economia, Universidade do Porto)

  • Aurora A. C. Teixeira

    (CEMPRE, Faculdade de Economia, Universidade do Porto)

Abstract

We present a unified graphical framework accounting for the nature and impact of spillover effects. The dynamics of the learning process with a specific spillover transfer mechanism can be illustrated by recurring to this four-quadrant picture. In particular, a whole cycle of technological learning is explained with help of such a graphical representation of the basic learning process in the presence of knowledge spillovers. We hypothesize two different functional specifications of spillover exchanges among firms within a local innovation system. Each conceivable shape for the knowledge transfer relationship among firms expresses a possible mode and intensity of information processing arising from technology spillovers. A general proposition regarding the relative efficiency of the two alternative formal models with spillovers effects is derived. The basic models with spillover effects are then extended in several relevant directions.

Suggested Citation

  • Mário Alexandre Silva & Aurora A. C. Teixeira, 2005. "A Model of the Learning Process with Local Knowledge Externalities Illustrated with an Integrated Graphical Framework," FEP Working Papers 179, Universidade do Porto, Faculdade de Economia do Porto.
    • Handle: RePEc:por:fepwps:179
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    References listed on IDEAS

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    1. Antonelli, Cristiano, 2001. "The Microeconomics of Technological Systems," OUP Catalogue, Oxford University Press, number 9780199245536.
    2. Romer, Paul M, 1990. "Endogenous Technological Change," Journal of Political Economy, University of Chicago Press, vol. 98(5), pages 71-102, October.
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    Keywords

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    JEL classification:

    • O31 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Innovation and Invention: Processes and Incentives
    • O32 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Management of Technological Innovation and R&D
    • R19 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Other

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