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Knowledge Does Not Fall Far from the Tree - A Case Study on the Diffusion of Solar Cells in Germany

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  • Johannes Rode

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  • Alexander Weber

Abstract

The purpose of this paper is to illuminate the geographical diffusion of photovoltaic installations in Germany quantitatively and to test if preexisting photovoltaic systems stimulate further installations nearby; thus we investigate to which extent knowledge flows depend on geographic proximity. We develop an econometric model, which is discrete in time and space, but the level of geographical agglomeration is adjustable in arbitrarily small steps. We find that the probability to install a photovoltaic system dependents on the geographic proximity to agents, who have previously installed a photovoltaic system. In conclusion, our results confirm that knowledge exchange attenuates with distance.

Suggested Citation

  • Johannes Rode & Alexander Weber, 2011. "Knowledge Does Not Fall Far from the Tree - A Case Study on the Diffusion of Solar Cells in Germany," ERSA conference papers ersa11p497, European Regional Science Association.
  • Handle: RePEc:wiw:wiwrsa:ersa11p497
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    File URL: http://www-sre.wu.ac.at/ersa/ersaconfs/ersa11/e110830aFinal00497.pdf
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    References listed on IDEAS

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    1. Glaeser, Edward L & Hedi D. Kallal & Jose A. Scheinkman & Andrei Shleifer, 1992. "Growth in Cities," Journal of Political Economy, University of Chicago Press, vol. 100(6), pages 1126-1152, December.
      • Edward L. Glaeser & Hedi D. Kallal & Jose A. Scheinkman & Andrei Shleifer, 1991. "Growth in Cities," NBER Working Papers 3787, National Bureau of Economic Research, Inc.
      • Glaeser, Edward Ludwig & Kallal, Hedi D. & Scheinkman, Jose A. & Shleifer, Andrei, 1992. "Growth in Cities," Scholarly Articles 3451309, Harvard University Department of Economics.
    2. Roderik Ponds & Frank van Oort & Koen Frenken, 2007. "The geographical and institutional proximity of research collaboration," Papers in Regional Science, Wiley Blackwell, vol. 86(3), pages 423-443, August.
    3. Wagner, Alfred, 1891. "Marshall's Principles of Economics," History of Economic Thought Articles, McMaster University Archive for the History of Economic Thought, vol. 5, pages 319-338.
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    Cited by:

    1. De Groote, Olivier & Pepermans, Guido & Verboven, Frank, 2016. "Heterogeneity in the adoption of photovoltaic systems in Flanders," Energy Economics, Elsevier, vol. 59(C), pages 45-57.

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