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Technology Network Innovation and Distribution

Author

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  • Jingong Huang

    (University of Melbourne)

Abstract

Motivated by empirical evidence from the U.S. patent citation data on the dynamics of firms' patent portfolio development, I build a model of innovation incorporating a technology network structure. The model features firms operating in multiple technology sectors and internalising the spillovers of their own knowledge accumulation to produce patents. Two new insights emerge: The technology network is an important determinant of the patent distribution in different sectors. The growth of patents in each sector is proportional to the Eigenvector Centrality of the technology network. The model is estimated using Simulated Method of Moments and it is capable of reproducing the patent distribution observed in the data.

Suggested Citation

  • Jingong Huang, 2017. "Technology Network Innovation and Distribution," 2017 Meeting Papers 24, Society for Economic Dynamics.
    • Handle: RePEc:red:sed017:24
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    References listed on IDEAS

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