nep-ino New Economics Papers
on Innovation
Issue of 2012‒10‒13
35 papers chosen by
Steffen Lippert
University of Otago, Dunedin

  1. Determinants of innovation in a small open economy: A multidimensional perspective By Luisa Carvalho; Teresa Costa; Jorge Caiado
  2. R&D, innovation and economic growth: spatial heterogeneity in Europe By Roberta Capello; Camilla Lenzi
  3. Innovation Process in Japan in the Early 2000s as Seen from Inventors: Agenda for strengthening innovative capability (Japanese) By ISOGAWA Daiya; OHASHI Hiroshi
  4. An exam of the spatial patterns of innovation in Brazilian industry: an empirical analysis By Veneziano Araujo; Renato Garcia
  5. Integration Processes in European R&D: A comparative spatial interaction approach using project based R&D networks, co-publication networks and co-patent networks By Rafael Lata; Thomas Scherngell; Thomas Brenner
  6. The role of university-firm relations to foster regional development: evidence from Brazilian Amazon By Ana Paula Bastos; Leandro Almeida; Marcia Diniz; Marcelo Diniz
  7. Knowledge Creation vs Knowledge Co-Production: Knowledge Intensive Business Servises and Innovative Activity in EU Regions By Gianni Guastella; Frank van Oort
  8. What makes Chinese firms productive? Learning from indigenous and foreign sources of knowledge By Boeing, Philipp; Mueller, Elisabeth; Sandner, Philipp
  9. What Drives Regional Cooperative Behavior in German Biotechnology? Embedding Social Network Analysis in a Regression Framework By Timo Mitze; Falk Strotebeck
  10. Microeconometric Evidence of Financing Frictions and Innovative Activity By Amaresh K. Tiwari; Pierre Mohnen; Franz Palm; Sybrand Schim van der Loeff
  11. Bridging Firm’s Innovation, Productivity and Export: An Analysis using Swedish CIS data By Viroj Jienwatcharamongkhol; Mohammad Hossein Tavassoli
  12. Characterizing the evolution of the EU R&D intensity gap using data from top R&D performers By Federico Biagi; Juraj Stančík
  13. What determines the embeddedness of European regions in EU funded R&D networks? Evidence using graph theoretic approaches and spatial panel modeling techniques By Iris Wanzenböck; Thomas Scherngell; Rafael Lata
  14. Spatial Knowledge Spillovers in Europe: A Meta-Analysis By Peter Warda; Urban Gråsjö; Charlie Karlsson
  15. Changing tasks of Innovation intermediary organizations By Eva Gajzago
  16. Agglomeration and network effects on regional knowledge production activities in Europe By Slavomir Hidas; Martyna Wolska; Manfred M Fischer; Thomas Scherngell
  17. REGIONAL DISPARITIES AND INNOVATIONS IN EUROPE By TIIU PAAS
  18. Trends in UK BERD after the Introduction of R&D Tax Credits By Steve R. Bond; Irem Guceri
  19. Inter-regional betweenness centrality in the European R&D network: Empirical investigation using European Framework data By Michael Barber; Thomas Scherngell
  20. Smart innovation policies By Roberto Camagni; Roberta Capello
  21. The complementary effects of proximity dimensions on knowledge spillovers By Emanuela Marrocu; Raffaele Paci; Stefano Usai
  22. UsersÕ ability to anticipate incremental and radical innovation in online communities: The role of product knowledge and willingness to participate in the community life By Claudio Giachetti; Gianluca Marchi; Riccardo Corradini
  23. Entrepreneurial innovations and taxation By Haufler, Andreas; Norbäck, Pehr-Johan; Persson, Lars
  24. Determinants of R&D activities of multinational firms abroad By Sandra Leitner; Bernhard Dachs; Robert Stehrer
  25. The AEIs Programme final evaluation 2007-2011: New insights on cluster and cluster policy contribution to competitiveness By Jonatan Paton; Jaime Del Castillo; Belen Barroeta
  26. From creativity to innovativeness: micro evidence from Italy By Roberto Antonietti
  27. Transformation of regional innovation systems: From old legacies towards new development paths By Franz Tödtling; Michaela Trippl
  28. The role of integration mechanisms in creation of regional innovative system of Magadan region By Golobokova Galina
  29. Understanding Society Innovation Panel Wave 4: Results from Methodological Experiments By Budd, Sarah; Gilbert, Emily; Burton, Jonathan; Jäckle, Annette; Kaminska, Olena; Uhrig, S. C. Noah; Brown, Matthew; Calderwood, Lisa
  30. The Past and Future of Knowledge-based Growth By Holger Strulik; Klaus Prettner; Alexia Prskawetz
  31. The impacts of urban location on the involvement of knowledge-intensive services in international innovation collaboration By Bernd Ebersberger; Sverre Herstad
  32. Joint knowledge generation in European R&D networks: Results from a discrete choice modelling perspective By Florian Reinold; Manfred Paier; Manfred M. Fischer
  33. Innovation policy in city-regions: internationalization strategies as policy instruments By Ann Karin Holmen; Arild Farsund
  34. Identifying Clusters within R&D Intensive Industries Using Local Spatial Methods By Reinhold Kosfeld
  35. Entrepreneurial Opportunity Recognition and Exploitation in the Academia: a Dynamic Process of Networking By Eleonore Huang Vogel

  1. By: Luisa Carvalho (School of Business Administration, ESCE/Polytechnic Institute of Setubal); Teresa Costa (School of Business Administration, ESCE/Polytechnic Institute of Setubal); Jorge Caiado (CEMAPRE, School of Economics and Management (ISEG), Technical University of Lisbon)
    Abstract: This paper uses logistic regression analysis to examine how intramural and extramural R&D, acquisition of machinery, equipment and software, acquisition of external knowledge, training, market introduction and other procedures and technical preparations determine the innovation behaviour of manufacturing and service firms. We adopt a multidimensional view of innovation by considering product, process, organizational and marketing innovations as dependent variables separately. The study reports on the Community Innovation Survey (CIS4) of a small open-economy country. The empirical results indicate that intramural R&D has a positive impact on innovation. In contrast, the influence of extramural R&D on innovation is unclear. All innovation activities contribute towards organizational innovation. The study also suggests that there are no significant differences between services and manufacturing firms concerning the propensity to innovation.
    Keywords: Innovation, manufacturing firms, service firms, CIS
    JEL: L60 L80 O30 O32
    Date: 2012–10
    URL: http://d.repec.org/n?u=RePEc:cma:wpaper:1201&r=ino
  2. By: Roberta Capello; Camilla Lenzi
    Abstract: In this paper, we aim at re-assessing the undisputed positive relationship between innovation and economic growth by questioning the view that R&D (and formal knowledge in general) equates innovation and innovation equates regional growth. We rather propose that these linkages are strongly mediated by local territorial assets and explore this relationship at the regional level (NUTS2) for 262 regions of the European Union. In doing so, we rely upon an original database encompassing several knowledge and innovation indicators, ranging from R&D expenditures, patent data, to newly released data on different types of innovation: product, process and marketing and/or organizational innovation, derived from the Community Innovation Survey 2002-2004 wave. The data set also includes several variables aimed at capturing different elements characterizing possible different attitudes and patterns of innovation that we control for, such as regional preconditions for knowledge and innovation creation and acquisition (namely, accessibility, trust, structural funds funding, foreign direct investments). The results of the analysis confirm that R&D is an important driver of economic growth. However, this result hides a larger territorial heterogeneity and needs some qualifications. Firstly, only regions strongly endowed with elements supporting knowledge creation processes are likely to benefit from the positive returns to R&D; a critical mass of R&D investments is therefore needed in order to exploit the eventual benefits arising from increasing returns to research expenditures. Secondly, once controlling for innovative behavior, R&D does not show anymore a significant impact on GDP growth. In fact, whereas the growth benefits accruing from R&D look rather selective and concentrated in a relatively small number of regions, the benefits accruing from innovation look not only of greater magnitude but more pervasive and beneficial for a larger number of regions. From these findings, we ultimately draw ad-hoc policy suggestions.
    Date: 2012–10
    URL: http://d.repec.org/n?u=RePEc:wiw:wiwrsa:ersa12p187&r=ino
  3. By: ISOGAWA Daiya; OHASHI Hiroshi
    Abstract: This paper estimates a dynamic oligopoly model of product innovation to evaluate an equilibrium effect of public policy on firms' innovation activities. The model considers a multi-agent Markov-Perfect Nash Equilibrium, allowing for firms' dynamic decision making on innovation activities and entry and exit. The estimation results obtained by using Japanese firm-level data on product innovation identify net positive spillovers among firms' dynamic innovation activities. Simulation exercises based on the obtained estimates indicate that, while the existing subsidies indeed encourage firms' innovation activities, they are far from optimal.
    Date: 2012–10
    URL: http://d.repec.org/n?u=RePEc:eti:rdpsjp:12034&r=ino
  4. By: Veneziano Araujo; Renato Garcia
    Abstract: The aim of this paper is to exam the spatial patterns of innovative performance in Brazilian industry, taking into account its regional interdependencies, and the impact of the main innovative inputs. There is a huge literature concerning regional innovation and the importance of local inputs in innovative performance. However, most of the studies use data from developed countries. This paper verifies if the role played by innovative inputs in developed countries remain important in developing ones, in which patents are proportionally rare. In this sense, it’s applied an empirical model based in the Jaffe’s (1989) knowledge production function to Brazilian regions. The model uses patents as a proxy for the innovative output and includes regional variables of local industrialand academic R&D, agglomeration characteristics and some spatial elements such as neighborhood’s innovative activities. The main results show the importance of local industrial R&D to regional innovation measured by patents, and, similarly, a relation between patenting activity of the firms and local academic research. With the purpose of evaluate which externality is more important to innovation in Brazilian regions, marshallian or jacobian externalities; the Krugman specialization-diversification index of industrial employment is adopted in the model. The importance of been close to the most innovative regions is assessed with the commonly used spatial lagged variables and the estimation results corroborates the relevance of technological spillovers spatial mediated. Finally, some efforts are made to exam other kinds of proximity as proposed by Boschma (2005) and a network weight matrix based on university-industry collaborative links, such as Ponds et al (2010), is added to the model to test the importance of non spatial proximity. The overall conclusion suggests that in Brazilian case, main innovative inputs seemed in developed countries remain important, but presents also some specificity such as a strong concentration of innovative activities in the Southeast related with the industrial agglomeration and different relative magnitude importance in some local determinants of innovation. JEL Code: O18 ;O33; R11. Key-words: Regional innovation – Patents – Spatial analysis – Brazil Area: D. Entrepreneurship, networks and innovation
    Date: 2012–10
    URL: http://d.repec.org/n?u=RePEc:wiw:wiwrsa:ersa12p782&r=ino
  5. By: Rafael Lata; Thomas Scherngell; Thomas Brenner
    Abstract: The focus of this study is on integration processes in European R&D by analyzing the spatio-temporal dimension of three different R&D collaboration networks across Europe. These networks cover different types of knowledge creation, namely co-patent networks, project based R&D networks within the EU Framework Programmes (FPs) and co-publication networks. Integration in European R&D – one of the main pillars of the EU Science Technology and Innovation (STI) policy – refers to the harmonization of fragmented national research systems across Europe and to the free movement of knowledge and researchers. The objective of this study is to describe and compare spatio-temporal patterns of the observed networks at a regional level, and to estimate the evolution of separation effects over the time period 1999-2006 that influence the probability of cross-region collaborations in the distinct networks under consideration. By separation effects we refer to geographical, technological, institutional and cultural barriers between the regions under consideration. The study adopts a spatial interaction modeling perspective, econometrically specifying a panel generalized linear model relationship taking into account spatial autocorrelation among flows by using Eigenfunction spatial filtering methods to address the research questions. The European coverage is achieved by using 255 NUTS-2 regions of the 25 pre-2007 EU member-states, as well as Norway and Switzerland. For the construction of the three dependent variables that describe collaboration intensities between all region pairs in the three different types of R&D networks, we use data from the OECD Regpat database to capture cross-region co-patent networks, the AIT EUPRO database to capture cross-region project based R&D networks in the FPs, and the Scopus database to capture cross-region co-publication networks. The independent variables consist of one origin measure, one destination measure and seven separation measures. The separation variables focus on barriers that may hamper cross-region collaboration probability, accounting for spatial effects, cultural and institutional hurdles and economic or technological barriers. The results will provide novel and valuable empirical insight into ongoing integration processes in different types of R&D, reflecting knowledge diffusion in form of R&D collaborations from a longitudinal and comparative perspective. By this, the study will produce important implications regarding past success or failure of European R&D integration policies, and, thus, for future STI policy design. JEL Classification: C23, O38, L14, R15 Keywords: R&D Networks, European Framework Program, Patents, Publications, Large-Scale Networks, Spatial Interaction Modelling, Panel Econometrics, Eigenvector Spatial Filtering, Social Network Analysis
    Date: 2012–10
    URL: http://d.repec.org/n?u=RePEc:wiw:wiwrsa:ersa12p836&r=ino
  6. By: Ana Paula Bastos; Leandro Almeida; Marcia Diniz; Marcelo Diniz
    Abstract: The role of universities for the innovation process of countries or regions had been widely explored. In lagged regions becomes a reference not only for qualification and research but concentrates brains and fixes qualified people. This paper analyses innovation and especially the interaction of firms with universities and research institutes, as strategy to face the low internal investment capacity in innovation. Our focus is the ultra-peripheral region of Brazilian Amazon and it is part of a larger research project which investigates these interactions internationally. The interest in studying these interactions in Brazil are based on findings that the investments in R&D by the private sector are low, and the national (and thus regional) innovation systems are immature (Albuquerque, 1998). Data was collected based on a questionnaire applied to firms, adapted by Federal University of Minas Gerais, Brazil from the Carnegie Mellon (Cohen, 2002) and Yale Surveys (Klevorick, 1995) on firms’ interaction. The sample was taken from a database of university-based research groups registered in CNPq (national agency of research funding), that declared some kind of innovative relationship with firms. Although, the interaction between universities and firms has been considered crucial for the development of innovation, we found very few interactions resulting in a low complementary role or even substitute R&D efforts of these firms. Results show that the continuous interactions between firms and university are restricted to agronomy, energy, electrical and mining engineering. And that the role of university in leading the process is not sufficient to suppress the peripheral condition of the Amazon region.
    Date: 2012–10
    URL: http://d.repec.org/n?u=RePEc:wiw:wiwrsa:ersa12p1092&r=ino
  7. By: Gianni Guastella; Frank van Oort
    Abstract: Regional economies are continuously evolving shifting from more traditional manufacturing toward more service-oriented production systems. Despite the increasing relevance of services, however, the analysis of innovation at the regional aggregate level has mainly focused on manufacturing, gathering the attention on the role of R&D expenditure as input in the production process and, in some cases, accounting for research-based knowledge externalities. In this paper the role of Knowledge Intensive Business Services is studied and their contribution to the regional aggregate innovation is evaluated. The aim is twofold. First is to provide insights on the role covered by KIBS as a second knowledge infrastructure. Second is to examine the extent to which KIBS operate as bridges between the general purpose analytical knowledge produced by scientific universities and more specific requirement of innovative firms. A role commonly acknowledged to KIBS is in fact that of knowledge transferors. If on the one side it is however clear to whom they transfer knowledge, their client firms, on the other it is not as clear from whom the knowledge is originally transferred. For this reason a major attention in this work is dedicated to scientific universities considered as a primary source of knowledge. Being this knowledge analytical and highly codified, it probably can be more easily accessed by nearby located firms having higher opportunities of research collaboration and less easily by firms located in different regions. It is argued that KIBS, in transferring knowledge from universities to firms, are therefore specially important in the latter case. To test hese hypothesis a knowledge production function is estimated for a sample of 200 EU NUTS II regions including also information of university research and KIBS concentration. Parameters are estimated using the heteroschedasticity-consistent G2SLS estimator for spatial models and the evidence suggests that the contribution of KIBS to regional innovation is considerable. In fact accounting for the knowledge embedded in business services can considerably contribute to explain the cross-regional variation in innovative activities. Furthermore it is find that the KIBS contribution is more sizeable in regions in which there are not scientific universities. The highlighted results have important policy implications asking to rethink to how much effective an R&D-centered innovation strategy could be, at least in some regions.
    Date: 2012–10
    URL: http://d.repec.org/n?u=RePEc:wiw:wiwrsa:ersa12p424&r=ino
  8. By: Boeing, Philipp; Mueller, Elisabeth; Sandner, Philipp
    Abstract: This study investigates how in-house R&D as well as access to national and foreign knowledge sources influences the productivity of Chinese firms. For our main analysis we use data for 1,140 patenting firms listed at mainland China stock exchanges over the time-period 2001-2010. In-house R&D based on indigenous knowledge does indeed improve productivity as does engaging in joint research projects with national partners. In order to benefit from international knowledge, Chinese firms are dependent on an organizational integration of the knowledge source. Joint ventures with foreign partners, acquisitions of foreign firms, and employing foreign researchers inside China contribute to firm productivity, whereas international joint research projects are not sufficient. Our results indicate that at the current stage of China's economic development the absorptive capacity of most firms is sufficient to benefit from foreign sources of knowledge only if an enduring, deep relationship supports the absorption of the knowledge. --
    Keywords: indigenous innovation,China,knowledge sources,productivity,absorptive capacity,patents
    JEL: O32 O33
    Date: 2012
    URL: http://d.repec.org/n?u=RePEc:zbw:fsfmwp:196&r=ino
  9. By: Timo Mitze; Falk Strotebeck
    Abstract: We analyse the determinants of network formation in German’s biotechnology sector combining elements from social network analysis (SNA) and a regression framework for count data. For the latter we adopt a regional innovation system perspective, we estimate the number of total and interregional R&D collaborations of local biotech actors in the year 2005 as a function of region’s innovation and economic context as well as a set of policy related variables. The inclusion of policy instruments in the regression approach allows us to answer the question to what extent R&D-based cluster policies such as the well-known BioRegio contest (BRC) shape the formation of the German biotech network. We use the region’s degree centrality, a standard measure in SNA, as outcome variable. Our results show that policy indicators such as the volume of public funding for collaborative R&D are positively correlated with the region’s total and interregional number of R&D cooperations. However, besides this direct funding effect no further advantages such as image effects etc. are found. Regarding the role of factors defining the regional innovation system, we observe that the number of biotech patent applications, the share of regional hightech start-ups and the population density are positively linked to the region’s degree centrality.
    Date: 2012–10
    URL: http://d.repec.org/n?u=RePEc:wiw:wiwrsa:ersa12p629&r=ino
  10. By: Amaresh K. Tiwari; Pierre Mohnen; Franz Palm; Sybrand Schim van der Loeff
    Abstract: Using a unique panel data of Dutch innovation and financial variables we empirically investigate how financing and innovation vary across firm characteristics. The study also tries to gauge the extent of market failure due to the presence of financing frictions. Our main findings can be summarized as follows. First, when firms face endogenous financial constraints, debt financing and innovation choices are not independent of firm characteristics such as age, size, and existing leverage. In the absence of financial constraints, however, firms, almost uniformly across firm characteristics, become less inclined – as compared to firms facing constraints - to engage in innovative activity by raising debt. Second, small, young, highly leveraged, and firms with lower collateralizable assets are more likely to be financially constrained. Third, large, young, and low leveraged firms are more likely to be innovators. Fourth, financial constraints adversely affect a firm’s R&D intensity. Fifth, smaller and younger firms are more R&D intensive. A new estimator, that combines the method of “Correlated Random Effects” and “Control Function” to account for the endogeneity of regressors in a structural equations model, is developed. <P>Nous utilisons une base de données de panel néerlandaise assez originale pour examiner comment les décisions d’innovation et de financement varient selon les caractéristiques des entreprises. Nous examinons en particulier dans quelle mesure il y a une faille de marché due aux besoins de financement de l’innovation. En résumé, nous aboutissons aux résultats suivants. Premièrement, les entreprises soumises à des contraintes financières font leurs choix de financement et d’innovation en fonction de leur âge, de leur taille et de leur degré d’endettement. Sans contraintes de financement, les enterprises sont moins portées à innover en s’endettant, quelles que soient leurs caractéristiques. Deuxièmement, ont tendance à être contraintes financièrement les enterprises jeunes, petites, avec un rapport dettes/fonds propres élevé et peu d’avoirs collatérables. Troisièmement, les entreprises jeunes, grandes et avec un faible rapport dettes/fonds propres ont plus de chances d’être innovantes. Quatrièmement, les contraintes de financement réduisent l’intensité de R-D. Cinquièmement, ce sont les entreprises petites et jeunes qui sont plus intenses en R-D. Pour estimer notre modèle, nous développons un nouvel estimateur qui combine les méthodes des effets aléatoires corrélés et des fonctions de contrôle pour tenir compte de l’endogénéité des régresseurs dans un modèle structurel d’équations simultanées.
    Keywords: Financial Constraints, Capital Structure, R&D, Innovation, Firm Dynamics, Market Failure, Panel Data, Correlated Random Effects, Control Function, Expected ´a Posteriori, financières, structure de capital, R-D, innovation, dynamique de firmes, failles de marché, données panel, effets aléatoires corrélés, fonctions de contrôle, attentes a posteriori.
    JEL: G30 O30 C30
    Date: 2012–09–01
    URL: http://d.repec.org/n?u=RePEc:cir:cirwor:2012s-24&r=ino
  11. By: Viroj Jienwatcharamongkhol; Mohammad Hossein Tavassoli
    Abstract: This paper analyses the effect of innovation on the well-established productivity-export association in the literature. Here, we argue that actively innovative firms have a higher productivity, which make them more likely to become exporters. Moreover, exporting firms learn from their trading experiences and accumulate the necessary knowledge in order to innovate further, which may facilitate future productivity. We use the micro-data from two waves of Swedish Community Innovation Survey (CIS) to provide empirical evidences to test our argument concerning this interrelation between innovation, productivity, and export. The main finding is that firms which become innovative are more likely to also become an exporter, especially when they do not have prior export experiences. JEL Classification: D22, D24, F14, O39 Keywords: innovation, productivity, export, Swedish CIS, micro-data
    Date: 2012–10
    URL: http://d.repec.org/n?u=RePEc:wiw:wiwrsa:ersa12p885&r=ino
  12. By: Federico Biagi; Juraj Stančík
    Abstract: In this paper we look at the evolution of the R&D intensity gap between the EU and its major competitors using data from the Industrial Scoreboard covering the period 2002-2010. We focus on R&D intensity and we assess whether the gaps relative to major competitors arise from differences in industrial composition (structural component) or differences within sectors (intrinsic component). The paper is divided in two parts. In the first part of the paper we first present the evolution of the R&D intensity gap between the EU and its major competitors (US, Japan, BRIC, Asian Tigers) and then we look more closely at the role and evolution of the structural and intrinsic component for each pair-wise comparison, by looking at four basic macro-sectors defined in term of their R&D intensity. In the second part of our work we concentrate on the EU-US R&D intensity gap and, by applying firm level analysis, we test whether the results obtained by the statistical decomposition of aggregate R&D intensity are confirmed. In particular we test whether there is evidence of across-sector variability in R&D intensity and whether, within sectors, EU and US firms are performing differently, controlling for size, cyclical effects, common macroeconomic shocks and company’s age. Age is important for at least two reasons. First, young companies might have more problems in finding access to funds necessary in order to invest in R&D. Second, young companies might have to be especially aggressive in terms of innovation if they want to enter and succeed in markets where incumbents already exist. Therefore, our aim here is also to document the age profile for R&D intensity and to verify whether the R&D intensity gap between EU and non-EU companies is related to age of the firm. Finally we check if R&D intensity is affected by the abundance of internal funds (as captured by the profit/sales ratio), if this relationship changes with the age of the company and if the latter shows across-regional variation. Our results from firm level analysis indicate that there is evidence of strong across-sector variation and some evidence of within-sectors-across-region variation, which –however- is not always in favour of the US. Moreover we find that R&D intensity tends to decrease as firm size increases (as measured by the number of employees), that the age profile for R&D intensity behaves very differently in the two regions and that young companies in the EU exhibit a much higher reactivity to lagged profits-to-sales ratio, when compared to their US counterpart. We believe that this is an indication that the conditions for accessibility and cost of funds differ significantly across the two regions. Keywords: R&D Intensity, EU R&D gap JEL Codes: L16, O30, O57
    Date: 2012–10
    URL: http://d.repec.org/n?u=RePEc:wiw:wiwrsa:ersa12p321&r=ino
  13. By: Iris Wanzenböck; Thomas Scherngell; Rafael Lata
    Abstract: In the recent past, regional, national and supranational Science, Innovation and Technology (STI) policies have emphasized supporting interactions and networks between organisations of the innovation system. The policy instrument of the EU in this context are the European Framework Programmes (FPs) that support pre-competitive R&D projects, creating a pan-European network of actors performing joint R&D. In this study, we focus on the embeddedness of European regions in this network. By embeddedness we refer to the notion of centrality in the sense of the Social Network Analysis (SNA) literature. In network theory, vertices that have a more prominent and central network position will more likely benefit from network advantages than actors that have a more distant, peripheral position in the network. A higher network embeddedness of a region, i.e. of organisations located in that region, may increase information and knowledge access in the network, and, thus, create a competitive advantage when it comes to the formation of new collaborations and alliances. The objective of the study is to explain why some regions are able to obtain a better network embeddedness in the European network of R&D cooperation than other regions. For this reason we aim to identify determinants that influence a region´s embededdness, involving region-internal factors, such as regional characteristics on their innovation capability, their economic structure and technological specialisation, as well as region-external factors considering the influence of these variables in the neighbourhood of a specific region, referred to as spatial spillovers. To address this question we employ spatial panel modelling techniques, explicitly taking into account the time dimension in our data and the influence of spillovers by specifying a panel spatial durbin error model (SDEM). The dependent variable is the regions’ centrality in the FP network for the years 1998-2006, using a sample of 241 NUTS-regions of the EU-25 member states. We aggregate individual FP cooperations to the regional level leading to a network where the nodes are represented by regions and the edges by cross-region collaboration intensities. Using these matrices we calculate a region’s centrality relying on two different centrality concepts, namely betweeness- and eigenvector centrality. The independent variables involve regional characteristics related to a region’s knowledge production capacity and a region’s general economic structure. The results will significantly enrich our understanding of the relationship between a regions network embededdness and its internal and external characteristics. JEL Classification: C02, C49, L14, O39, O52 Keywords: R&D cooperation, European Framework Program, large-scale networks, network embeddedness, panel spatial Durbin model
    Date: 2012–10
    URL: http://d.repec.org/n?u=RePEc:wiw:wiwrsa:ersa12p451&r=ino
  14. By: Peter Warda; Urban Gråsjö; Charlie Karlsson
    Abstract: In this paper we focus on one type of externality, namely knowledge spillovers. Empirical studies on effects of knowledge spillovers in Europe have normally focused on localized effects, either on total factor productivity or knowledge production in terms of patent output. The purpose of this paper is to quantitatively review the empirical literature on spatial knowl-edge spillovers in Europe by means of meta-analysis. Our aim is to determine the extent to which such spillovers have been empirically documented as well as the spatial reach of these spillovers. In addition, we will apply meta-regression-analysis to analyze the determinants of observed heterogeneity across and between publications. Our results show that if total local R&D expenditure in a European region increases by 1%, the number of patents in that region increases, on average, by 0.482%. Spatial knowledge spillovers induce a positive effect on local knowledge production, however, this effect proves to be marginally small. Spatial weighting regime seems to matter. If R&D expenditures in other regions are weighted by distance in kilometers or minutes (instead of a binary contiguity matrix) then the spillover effect will on average be larger. Also, public R&D expenditure is found to have a lower impact on local patent production compared to private R&D expenditure.
    Date: 2012–10
    URL: http://d.repec.org/n?u=RePEc:wiw:wiwrsa:ersa12p622&r=ino
  15. By: Eva Gajzago
    Abstract: Changing tasks of Innovation intermediary organizations Key words: innovation intermediary organizations, regional effect, motivation of innovation process' actors JEL Codes: O31 - Innovation and Invention: Processes and Incentives O32 - Management of Technological Innovation and R&D My PhD research focuses on the efficiency of innovation intermediary organizations. In my presentation after I define the organizations and the innovation process as a special market, I would like to review their connections with regional and local actors and analyze their regional and local impact. Both assays are based on the human side of innovation. In the local impact analysis a specific practical example will be presented by exposing the current situation and innovation potential of a Hungarian middle sized industrial city, Dunaujvaros. Dunaujvaros has special possibilities to develop its innovation potential like the followings: • dominant and international steel company existing since the 1960's – industrial culture, creative class • the recent infrastructural developments – M6 highway, Danube-bridge • settling of two international (global) companies – Hankook Tire Ltd., Hamburger Hungaria Ltd. • developing and successful local middle-sized companies in the sector of building and electronic industries • existence of innovation intermediary organizations • well trained and experienced human resources in the field of innovation and innovation management • developing higher educational institute However Dunaujvaros can hardly capitalize its outbreak points and started to lose the above mentioned possibilities. How can an innovation intermediary organization help to stop this failure and help a city or a region to develop its innovation potential? In the presentation I wish to answer these questions regarding to a recent survey carried out in the sub-region of Dunaujvaros. The survey examined the motivations and innovation potentials of three target groups – companies, researchers and innovation financing companies. The evaluation of questionnaires show – among others - that • Most of the companies are not aware of sub-regional research projects and innovation possibilities however they wish to get more information regarding to innovation. • Most of the SMEs do not have any connection with innovation intermediaries neither with the College of Dunaujvaros nor its researchers. • However companies realize the importance of innovation they stated that they are lack of innovation ideas. According to the above mentioned results do not innovation intermediary organizations need to change? In the presentation I would like to suggest some resolution like reconsider their tasks and develop their efficiency by changing their working methods and communication channels.
    Date: 2012–10
    URL: http://d.repec.org/n?u=RePEc:wiw:wiwrsa:ersa12p565&r=ino
  16. By: Slavomir Hidas; Martyna Wolska; Manfred M Fischer; Thomas Scherngell
    Abstract: The focus of this study is on regional knowledge production activities in Europe, with special emphasis on the interplay between agglomeration and network effects. As increasingly considered in economic geography and regional science in the recent past, regional knowledge production activities, on the one hand, still remain geographically bounded; on the other hand, knowledge production activities have become increasingly interwoven and internationalized, emphasizing the crucial importance of region-external knowledge sources for a region’s knowledge production capacity. The objective of the study is to estimate to what extent agglomeration and network effects influence knowledge production activities at the level of European regions. We use an extended regional knowledge production function framework as basis for the study, and derive a spatial Durbin model (SDM) relationship that can be used for empirical testing. The European coverage is achieved using 241 NUTS-2 regions covering the EU-25 member states. The dependent variable, knowledge production activity, is measured in terms of patent counts at the regional level in the time period 1998-2008, using patents applied at the European Patent Office (EPO). The independent variables include an agglomeration index, measured in terms of population density, and the regional participation intensity in the European network of R&D cooperation, measured in terms of the number of participations of a region in R&D joint ventures funded by the European Commission under the heading of the EU Framework programs (FPs). By this we are able to estimate the distinct effects of network participation and agglomeration on regional knowledge production. In our modeling framework, we further control for total regional R&D expenditures as widely used in regional knowledge production function frameworks and its empirical applications. In estimating the effects, we implement a panel version of the standard SDM that controls for spatial autocorrelation as well as individual heterogeneity across regions. The specification incorporates a spatial lag of the dependent variable as well as spatial lags of the independent variables. This allows for the estimation of spatial spillovers of agglomeration and network effects from neighboring regions by calculating scalar summary measures of impacts. The estimation results are expected to provide sketches of policy implications in a European and regional policy context. JEL Classification: R11, O31, C21 Keywords: Regional knowledge production, Agglomerations effects, R&D networks, European Framework Programs, knowledge production function, panel spatial Durbin model
    Date: 2012–10
    URL: http://d.repec.org/n?u=RePEc:wiw:wiwrsa:ersa12p393&r=ino
  17. By: TIIU PAAS
    Abstract: The paper focuses on quantitative assessment of the innovation’s role in explaining regional disparities and convergence in Europe. The empirical part of the study bases on the regional GDP pc and innovation indicators on the EU-27 NUTS2 level regions. Based on the selected set of initial innovation indicators for the 262 EU NUTS2 level regions and using the principal components factor analysis method, three composite indicators of regional innovation capacity are extracted. They explain around 80 % of the variation of the initial innovation indicators. The preliminary research results show that around 60% of variability of regional GDP per capita is explained by composite indicators of regional innovation performance and additional 20% are country specific factors. Estimating convergence equations, we noticed that regional innovations tend to increase inter-regional differences, at least during the short-run period. Thus, if regional income convergence is a policy target, additional policy measures beside innovation activities should be effectively implemented
    Date: 2012–10
    URL: http://d.repec.org/n?u=RePEc:wiw:wiwrsa:ersa12p80&r=ino
  18. By: Steve R. Bond (Nuffield College, Department of Economics and Centre for Business Taxation, University of Oxford, UK, and Institute for Fiscal Studies.); Irem Guceri (St Peter?s College, Department of Economics and Centre for Business Taxation, University of Oxford)
    Abstract: This paper documents the increase in R&D intensity in the UK manufacturing sector in the period following the introduction of R&D tax credits in 2000-02. This increase is broadly in line with that predicted by econometric studies of the impact of R&D tax credits, notably Bloom, Griffith and Van Reenen (2002). If anything, UK manufacturing R&D intensity has risen faster than their model predicts. The timing of this increase is not simply explained by trends in neighbouring economies, although one puzzle is that the increase is largely confined to high tech sub-sectors of manufacturing.
    Keywords: R&D, tax credits
    JEL: H25 O31
    Date: 2012
    URL: http://d.repec.org/n?u=RePEc:btx:wpaper:1201&r=ino
  19. By: Michael Barber; Thomas Scherngell
    Abstract: An overarching concern in regional science is the characterization of interactions—such as commuter flows, transport, migration, or knowledge flows—within and between subnational spatial units. In this work, we use techniques from social network analysis to address the quality, rather than the quantity, of such interactions. Given the great current interest in European R&D networks, in which organizations from the science and the industry sector distributed across European regions perform joint R&D, we focus on interactions constituting knowledge flows in the European R&D network, as inferred from Framework Programme (FP) data. To assess a specific quality of these region-to-region interactions, we make use of the concept of edge betweenness centrality, which assesses the power of a relation based on the load placed on the corresponding network edge. Betweenness centrality is calculated using the geodesic paths between all distinct pairs of network vertices. Those vertices and edges required by relatively many of the paths thus often lie between other vertices; the fraction of the shortest paths on which an edge occurs is defined as the edge betweenness centrality. Edges with high betweenness centrality have the greatest load, are strategically positioned, and potentially can act as bottlenecks for the flows. We use this idea to evaluate knowledge flows between organizations in the European R&D network, considering several ways to relate the betweenness centrality at the level of FP project participants to knowledge flows at the NUTS2 regional level. We do so by aggregating betweenness centrality values calculated using bipartite graphs linking organizations to the FP projects in which they participate, considering annual FP data between the years 1999 and 2006. We determine the most central inter-regional knowledge flows, describe how this changes over time, and consider the implications for knowledge flows in European R&D networks. We model the centrality of the flows by means of spatial interaction models, estimating how geographical, technological, and social factors influence which region pairs become bottlenecks in the flow of knowledge. The results have meaningful implications to European R&D policy, in particular concerning which region pairs constitute the core in European R&D networks and which mechanisms drive the formation of this regional core. Keywords: European R&D networks, social network analysis, betweenness centrality, Framework Programmes JEL codes: L14, O31, R12
    Date: 2012–10
    URL: http://d.repec.org/n?u=RePEc:wiw:wiwrsa:ersa12p460&r=ino
  20. By: Roberto Camagni; Roberta Capello
    Abstract: This paper presents conceptual and empirical reasons for moving from a thematically-regionally neutral innovation policy to a thematically and regionally focused innovation policy, in line with the smart specialization approach of the new cohesion policy framework. The paper starts by claiming that the pathways towards innovation and modernization are differentiated among regions according to local specificities. In fact, territorial innovation patterns exist, that differ one another in terms of the different modes of combining knowledge and innovation, due to different territorial (context) conditions that support the creation / diffusion of knowledge and innovation. A single overall strategy is likely to be unfit to provide the right stimuli and incentives in the different contexts; it is instead on these different territorial innovation patterns that thematically/regionally focused, ad-hoc, innovation policies have to be built. Two main kinds of policies can be foreseen; policies for the reinforcement of territorial innovation patterns, devoted to the enhancement of the virtuous aspects that characterise a pattern, with the aim to reinforce its efficiency, and evolutionary policies, devoted instead to stimulate the most dynamic regions belonging to a pattern to move to a new and more efficient one. The paper goes in depth in suggesting which policies should be developed.
    Date: 2012–10
    URL: http://d.repec.org/n?u=RePEc:wiw:wiwrsa:ersa12p188&r=ino
  21. By: Emanuela Marrocu; Raffaele Paci; Stefano Usai
    Abstract: The purpose of this paper is to analyse the effect of various proximity dimensions on the innovative capacity of 276 regions in Europe within a knowledge production function model, where R&D and human capital are included as the main internal inputs. We combine the standard geographical proximity with the institutional, technological, social and organizational ones to assess whether they are substitutes or complements in channelling knowledge spillovers. Results show that all proximities have a significant complementary role in generating an important flow of knowledge across regions, with the technological closeness playing the most relevant role. Keywords: knowledge production, spillovers, proximity, human capital, weight matrix JEL: C31, O31, O18, O52, R12
    Date: 2012–10
    URL: http://d.repec.org/n?u=RePEc:wiw:wiwrsa:ersa12p167&r=ino
  22. By: Claudio Giachetti (Department of Management, Università Ca' Foscari Venezia); Gianluca Marchi (Department of Business Economics, Università di Modena e Reggio Emilia); Riccardo Corradini (Department of Business Economics, Università di Modena e Reggio Emilia)
    Abstract: Previous research on user innovation in online communities has regarded product knowledge and willingness to participate in the community life as two important characteristics influencing the level of user innovativeness. In this study, we examine the degree to which two such userÕs characteristics influence her/his ability to anticipate the introduction of firms' incremental and radical innovations, defined as the extent to which the userÕs suggestions or expressed needs for new product technologies correspond to what firms will subsequently introduce in the market. The findings show that, in online communities, the user's product knowledge and willingness to participate positively affect her/his ability to anticipate radical and incremental innovations. The results also show that, in online communities, the user's product knowledge positively affects her/his ability to anticipate incremental innovations more than her/his ability to anticipate radical innovations. This study examines consumer-to-consumer discussions in the GSMArena online community, a community for mobile phone users. Hypotheses are tested using the data of 6,528 messages posted by 3,564 participants during the year 2003 and a comprehensive data set including 3,586 handset models and related technologies introduced by 68 mobile phone vendors during the 1994Ð2010 time period.
    Keywords: innovative users, incremental innovation, radical innovation, product knowledge, willingness to participate, mobile phone
    JEL: M31 O31 O32
    Date: 2012–09
    URL: http://d.repec.org/n?u=RePEc:vnm:wpdman:28&r=ino
  23. By: Haufler, Andreas; Norbäck, Pehr-Johan; Persson, Lars
    Abstract: Stimulating entrepreneurship is high on the policy agenda of many countries. We study the effects of tax policies on entrepreneurs’ choice of riskiness (quality) of an innovation project, and on their mode of commercializing the innovation (market entry versus sale). Limited loss offset provisions in the tax system induce entrepreneurs innovating for entry to choose projects with inefficiently little risk, whereas this imperfection does not arise when innovating for sale. Tax systems which systematically favor market entry of entrepreneurs can thus lead to welfare losses due to inefficient quality choices, despite leading to more competition in the product market.
    Keywords: business taxation; innovation; market entry
    JEL: H25 L13 M13 O31
    Date: 2012–09
    URL: http://d.repec.org/n?u=RePEc:cpr:ceprdp:9157&r=ino
  24. By: Sandra Leitner; Bernhard Dachs; Robert Stehrer
    Abstract: In recent years, firms have considerably decentralized their research and development (R&D) activities. Subsidiaries of foreign multinational enterprises (MNEs) are now among the top performers of R&D in many EU and non-EU countries. Specifically, MNE affiliates account for around 20% of total business R&D in France, Germany and Italy; between 30% and 50% in Canada, Portugal, the Slovak Republic, Sweden and the United Kingdom; and more than 50% in Austria, Belgium, the Czech Republic, Hungary and Ireland. Against that backdrop, the paper uses a novel and unique data base on R&D expenditure of foreign-owned firms for a set of OECD countries and identifies and analyzes factors that drive the scale of R&D expenditure across countries and sectors. The empirical analysis employs a gravity approach which demonstrates that geography plays a pivotal role as distance between host and home country of a foreign-owned firm, a common language spoken in both home and host countries, or common borders are key drivers of cross-border R&D investments. Moreover, results reveal that additional determinants such as larger host and home country markets or superior host country human capital bases are conducive to R&D expenditure of foreign-owned firms while stronger human capital bases in home countries deter R&D efforts of foreign-owned firms abroad. Keywords: internationalisation of research and development, multinational firms, gravity model JEL-codes: F23, O32, O33
    Date: 2012–10
    URL: http://d.repec.org/n?u=RePEc:wiw:wiwrsa:ersa12p196&r=ino
  25. By: Jonatan Paton; Jaime Del Castillo; Belen Barroeta
    Abstract: Clusters and cluster policy has become a widespread phenomena. The general thought shows that, somehow, clusters are directly related to business competitiveness and regional growth. In this context, the Spanish Ministry of Industry has implemented a cluster policy since 2007 known as the AEIs Programme. The aim of this paper is to present the main results of the Spanish cluster policy case as well as an innovative evaluation methodology for clusters and cluster policy. After five years, 165 clusters have become AEIs. These AEIs represent 3,934 firms and 529 institutions (universities, R&D centres, public bodies etc.). These organizations account for a total of 750,797 jobs, making up 4.3% of the total Spanish employment. This total raises to 11.8% (2.1 million jobs) considering the knock-on effect over their value chains (direct and indirect employment). The Programe itself has financed the AEIs with more than 23.5 million Euros distributed across four different action lines focused on strategic plans definition, cluster operational structure, R&D and innovation collaborative projects and interclusters collaboration at national and international level. The knock-on effect of the Programme in increasing the return from other public support schemes raises to 44.7 million Euros for horizontal projects and 1,132 million Euros for R&D and innovation collaborative projects. But one of the innovative features in this final evaluation was the exercise on the identification of clusters and cluster policy impacts on business competitiveness. The survey shows that apparently, the competitiveness factors addressed by clusters-AEIs and AEIs Programme can represent up to 32.77% of total cost reduction of a company annually. On the other side, the same factors can contribute up to 28.21% of the total sales increases of a company annually. But there are still some weaknesses that must be addressed. The interrelations between clusters are still in their first stage. Globalization is an imperative that Spanish economy must face and considering the scope and the scale of global competition this must necessarily rest on coordinated and systematic actions where clusters can play a central role. The challenge for the Spanish cluster policy will be base on how to support cluster consolidation; on how to reinvent the activities exploiting local and regional related variety; on how to manage it into a Global Value Chain through interclusters collaboration; and finally on how to evolve into knowledge and innovation intensive specialization patterns fueled by Spanish World-Class Clusters. Although it can seem quite ambitious, regarding 2020 period, the Smart Specialization Framework enhanced by the Commission can be an opportunity to rethinking the Spanish cluster model into these terms.
    Date: 2012–10
    URL: http://d.repec.org/n?u=RePEc:wiw:wiwrsa:ersa12p663&r=ino
  26. By: Roberto Antonietti
    Abstract: In this paper I assess the existence, and the magnitude, of technological externalities in the form of creativity spillovers that affect individual firms' innovative intensity. Relying on a large sample of Italian manufacturing firms, I first estimate a knowledge production function through a zero-inflated beta regression model and a generalized Tobit model. From these, I extract the residuals, which represent the unexplained part of the actual observed share of innovative sales, namely innovativeness. Then, I regress such a measure of firm innovativeness on a set of occupation-based, as well as density-based, indicators of creativity at the NUTS3 level, while controlling for firm localization, size and industry. I also control for endogeneity and non-linearity by estimating a two-stage least squares model and a generalized additive model respectively. My estimates show that: (i) there is a positive and highly statistically significant effect of creativity on innovativeness; (ii) the effect of creativity on actual innovative sales is weak, while I find a stronger effect played by the availability of R&D labour within the firm; (iii) occupation-based measures of creativity outperform education-based measures of human capital; (iv) when controlling for the education content of jobs, firms' innovativeness is affected more by the local availability of non-graduated creative workers than of graduated ones; (v) rather, relying on NUTS3 regional data, I find that a higher local availability of graduated creative workers affects the invention intensity of a city; (vi) the relationship between firm innovativeness and the local density of creative people is U-shaped, so that proximity-based knowledge externalities emerge only after a certain density threshold is reached, this occurring typically in larger urban areas, typically hosting design and service-based creative industries. From the policy point of view, increasing the availability of creative jobs and people can help regions and cities to be more innovative, especially in the absence of large R&D departments and formal agreements with external partners. In this respect, my results are in line with the literature on innovative milieux, where social learning phenomena, rather than formal R&D activities, help explaining the processes of knowledge creation and diffusion within and between firms, clusters and territories. Keywords: creativity; innovativeness; innovative sales; knowledge production function; proportions JEL: L60; O31; R10 Please do consider the paper for these two alternative Special Sessions: ZS. SS and ZC.SS
    Date: 2012–10
    URL: http://d.repec.org/n?u=RePEc:wiw:wiwrsa:ersa12p423&r=ino
  27. By: Franz Tödtling; Michaela Trippl
    Abstract: Over the past 20 years, the innovation system approach has significantly enhanced our understanding of the innovation process, stressing its non-linear, systemic, interactive and evolutionary character. The notion of regional innovation systems (RISs) highlights the regional dimension of new knowledge generation and exploitation and constitutes a powerful concept for explaining regional differences in innovation capacity. RISs can be conceptualised as the set of firms, organisations and institutions which influence the innovative behaviour and economic performance at the regional level. They are shaped by existing industry structures and technology paths, the set of knowledge organisations, and the prevailing institutions and networks. As a consequence, they exhibit a high degree of inertia. This may lead to phenomena of path dependency and “lock in†in particular regions and to a certain degree of stability in terms of regional disparities in innovation and economic development. Regions and their innovation systems, however, are not static entities. In fact, one can observe considerable changes of industry structures, innovation activities and patterns of networking in particular regions in the longer run, often reaching beyond the existing development paths. We find phenomena of innovation-driven catching up processes in lagging regions, restructuring processes in industrial regions leading to new industries and technology paths, as well as sometimes an erosion of innovation capacity and competitiveness in leading regions. Most research on RISs, however, has so far not dealt with such changes. The RIS literature suffers from a key weakness, that is, its static view brought about by a focus on existing structures and relations. As a consequence, the reconstruction of RISs and their evolution over time remains poorly understood. The aim of the paper is to enhance our understanding of how processes of RIS transformation take place. We will identify key actors and drivers of path renewal and new path creation and we seek to find out to which extent such changes are related to the existing economic and institutional structures. Based on a discussion of relevant theories and a critical literature review we will develop a conceptual frame for analysing RIS changes. Besides the RIS approach we will use ideas from evolutionary economic geography (EEG) which provides valuable insights into the long-run regional trajectories and sources of change in regional economies. We will also discuss empirical examples of such shifts based on evidence from Austria and other countries. JEL Codes: R10, R11, R58, O30, O38
    Date: 2012–10
    URL: http://d.repec.org/n?u=RePEc:wiw:wiwrsa:ersa12p295&r=ino
  28. By: Golobokova Galina
    Abstract: The role of integration mechanisms in creation of regional innovative system of Magadan region Galina M.Golobokova, Administration of Magadan region, Magadan, Russia The regional innovation system, innovation infrastructure, interation mechanisms. In Russia the adoption of new technologies by changing the “raw-material†economy to the competitive production one faces a number of difficulties originated by sequences of our transition to the market economy, partial loss of priorities in technological development as well as weakness of national innovative system. That’s why it is important to work out a number of scientific approaches for development of synergic mechanisms to integratethe efforts of all participants of the innovative process.It makes the basement for legal and institutional reorganization (legal acts on innovative activity as well as on development of intellectual property market, commercialization of results of scientific and research activities, effective management of financial resources, compiling of innovative governmental order and stimulation of investors in innovative businesses). Within the framework of “Scientific research of innovation processes and development of mechanisms for implementation of innovations in regional economy†we have completed the following studies: modeling of strategic alternatives and mechanisms for implementation of innovations in regional economy; vectors of innovation development of regional economy on the basis of synergetic mechanisms of integration of various players in the innovation market; development of information and communication models of innovation; building of innovation mechanisms of the regional energy development; problems of formation of the regional market of intellectual property. We have drawn up technical approaches towards implementation of the strategy of innovation development of the Northern territories and a unique model of regional innovation policy building and functioning. The regional innovation system of the Magadan region is a set of interacting subjects of innovation activity. Regional innovation infrastructure provides support and sustainable development. The adopted strategy of development of the Magadan region till 2025 is intended to introduce innovations in various areas of economy: mining, fishing industry, energy conservation and electricity, oil and gas production, production of new building materials that will require new mechanisms of integration and considerable financial resourses. Nowadays the Magadan region is rated second in the Far East Federal district on the numbers innovation companies – 35 and on the volume of innovation goods (works and services) – 2,4 billion rubles. The share of innovation goods, works and services total 5,2% in the general volume that is the maximum in the Far East.
    Date: 2012–10
    URL: http://d.repec.org/n?u=RePEc:wiw:wiwrsa:ersa12p584&r=ino
  29. By: Budd, Sarah; Gilbert, Emily; Burton, Jonathan; Jäckle, Annette; Kaminska, Olena; Uhrig, S. C. Noah; Brown, Matthew; Calderwood, Lisa
    Abstract: This paper presents some preliminary findings from the Wave 4 Innovation Panel (IP4) of Understanding Society: The UK Household Longitudinal Study. Understanding Society is a major new panel survey for the UK. In March 2011, the fourth wave of the Innovation Panel was fielded. This paper describes the design of IP4, the experiments carried and the preliminary findings from early analysis of the data.
    Date: 2012–09–28
    URL: http://d.repec.org/n?u=RePEc:ese:ukhlsp:2012-06&r=ino
  30. By: Holger Strulik; Klaus Prettner; Alexia Prskawetz
    Abstract: Conventional R&D-based growth theory argues that productivity growth is driven by population growth but the data suggest that the erstwhile positive correlation between population and productivity turned negative during the 20th century. In order to resolve this problem we integrate R&D-based innovations into a unified growth framework with micro-founded fertility and schooling behavior. The model explains the historical emergence of R&D-based growth and the subsequent emergence of mass education and the demographic transition. The ongoing child quality-quantity trade-off during the transition explains why in modern economies high growth of productivity and income is associated with low or negative population growth. Because growth in modern economies is based on the education of the workforce, the medium-run prospects for future economic growth – when fertility is going to be below replacement level in virtually all developed countries – are much better than suggested by conventional R&D-based growth theories.
    Keywords: R&D, declining population, fertility, schooling, human capital
    JEL: J13 J24 O10 O30 O40
    Date: 2012–09–18
    URL: http://d.repec.org/n?u=RePEc:got:cegedp:140&r=ino
  31. By: Bernd Ebersberger; Sverre Herstad
    Abstract: Research on territorial innovation systems has traditionally put a very strong emphasis on intra-economy collaborative linkages as they allow valuable tacit knowledge to flow between co-located firms and institutions. Frequent face-to-face contact between producers and demanding users combined with institutionalized trust nurtured by proximity has been seen as conducive to advanced new knowledge development, structural change and growth. This is visible not least in the literature on knowledge-intensive business services, which emphasizes the role of proximity between providers and a demanding client base. However, collaborative linkages can span large distances and are increasingly regarded as a mechanism by which firms overcome local supply and demand side limitations. The rapid diffusion of ICTs has increased the scope for service firm, by increasing tradability and by allowing more efficient international market search. At the same time, regions remain important as ‘containing social structures’ for labor flows and information diffusion through interpersonal networks, for new firm formation based on localized knowledge assets, and as platforms for growth and internationalization. The locus of innovation is therefore shifting away from individual firms, towards territorial economies and the distributed innovation networks by which they are linked. Knowledge intensive business services are important in this context, as they are positioned at the intersection between corporate demand for specialized knowledge, and the supply of this knowledge from various actors and locations. Yet, the literature on internationalization in services focuses primarily on demand side enablers in the form of trade liberalization and modern ICTs, and drivers in the form of larger and more diverse markets. Consequently, it has yet to acknowledge the embeddedness of knowledge-intensive business services in international innovation collaboration networks more broadly. This paper starts from the recognition that collaborative linkages may be conditioned by contexts of location, in particular when they are extended into distant business communities. This paper analyses the link between urban locations, and the involvement of knowledge-intensive business service firms in international innovation collaboration. It extends current research on the internationalization of business services by distinguishing between demand and supply side linkages in international innovation collaboration. The empirical analysis uses establishment level innovation data available from the Sixth Norwegian Community Innovation Survey (CIS2008) to investigate whether urban location affects a firm’s involvement in global innovation collaboration. Everything else equal knowledge-intensive business service firms located in the Norwegian capital region are found to be more involved in international collaboration than establishments located at any other level of centrality. This is not driven by the more intense interaction with clients and customers. Rather, it is most distinctively driven by broader linkages with knowledge supplying actors. Keywords: Internationalization of innovation, KIBS, urban location JEL: R11 F20 L80
    Date: 2012–10
    URL: http://d.repec.org/n?u=RePEc:wiw:wiwrsa:ersa12p438&r=ino
  32. By: Florian Reinold; Manfred Paier; Manfred M. Fischer
    Abstract: The objective of this study is to explore the determinants of joint knowledge generation within European networks of R&D collaboration. This study distinguishes between two types of joint knowledge generation: scientific and commercially relevant knowledge generation. Joint generation of scientific knowledge is measured by co-authored scientific publications, while joint commercially relevant knowledge is measured by co-owned patents and artefacts. Unit of analysis are dyads of organisations jointly participating in projects of the 5th EU Framework Programme (FP5). The data for carrying out this study is taken from a survey among FP5 participants and the EUPRO database. 23 EU member countries (Bulgaria, Cyprus, Malta and Rumania are excluded) plus Switzerland and Norway are included. Regression methods for discrete choice (logit and probit) are employed to meet the objective. The independent variables taken into consideration encompass the types of organisations involved in the dyad, geographical and cultural obstacles, relational factors and project characteristics. Results show that dyads involving universities have the highest probability not only to jointly generate scientific knowledge but also to jointly generate commercially relevant knowledge, whereas the involvement of an industry organisation results in a low probability for both types of knowledge generation. Perhaps, this can be attributed to the fact that joint knowledge generation entails disclosure of own knowledge, which is actually a task of universities but is problematic for industry organisations. Another important result is that crossing national border has a significant positive rather than negative effect on joint scientific knowledge generation, which is essentially a consequence of how the Framework Programmes had been set up. Similarly, crossing EU-15 external border has a positive effect on joint knowledge generation, indicating that the FPs work well in achieving their aim of supporting the catching up process of CEE countries. But, joint generation of commercially relevant knowledge is negatively influenced by language borders. This can be explained by the fact that the co-development of patentable knowledge or artefacts requires more intensive and complex interactions than to co-author a scientific publication where English is the lingua franca anyway. Results on relational factors and project characteristics satisfy expectations: Duration of collaboration and the existence of previous collaboration have a positive effect on joint knowledge generation, whereas the project size, measured by number of participants, affects joint knowledge generation negatively.
    Date: 2012–10
    URL: http://d.repec.org/n?u=RePEc:wiw:wiwrsa:ersa12p253&r=ino
  33. By: Ann Karin Holmen; Arild Farsund
    Abstract: Innovation policy in city-regions: internationalization strategies as policy instruments Keywords: city-region, policy instruments, regional public support system, regional innovation JEL-code: R58 The globalization of the economy has led to increased competition between regions when it comes to innovation and business development. Recent research in southwest Norway shows that companies that have a wide range of international partners are significantly more likely to develop new products and generate radical innovation than companies without these kinds of networks (Fitjar and Rodriguez-Pose 2011: 556). In Norway regional authorities have taken an active role trying to make the conditions favorable for companies competing internationally. A portfolio of policy instruments has been introduced and offered regional companies, still there are both empirically and theoretically gaps in our knowledge regarding how these policy instruments are developed and made use of. Ruud, Smits and Kuhlmann (2004) argue that portfolios are heavily dominated by financial instruments and that there is a need to develop new types of instruments in order to tune them to the needs of actors involved in innovation processes. In line with this argument the main question posed in this paper is: To what degree is policy tools developed and adapted to companies needs in the regional innovation system? This study investigates how regional authorities in Southwest Norway develop policy tools in order to offer regional companies support in the processes of internationalisation. More specific, the study focus at city-regional public support systems and how they combine and coordinate policy instruments according to assumed needs in the regional innovation systems. Recent findings from surveys, interviews and in depth studies of two specific policy instruments will be presented in the paper. The findings contribute to the discussion of regional development policy in several ways. First, the principal discussion on the public role and the strategic development of public support system containing new institutions and instruments. Second, the rational behind developing the policy instruments. Are they based on companies’ actual needs, or is it based on public strategic priorities? Third, the study contributes with in the discussion on what kind of instruments companies use and how the policy instruments are combined both by the companies themselves but also the public support system.
    Date: 2012–10
    URL: http://d.repec.org/n?u=RePEc:wiw:wiwrsa:ersa12p255&r=ino
  34. By: Reinhold Kosfeld
    Abstract: In recent times, there has been a renewed interest in cluster policies for supporting industrial and regional development. Prominent economics like Porter and Krugman emphasise the role of clusters in regional competition and show in which way clusters can positively affect competition by increasing productivity and innovation. Because of the linkage between growth and innovation, R&D intensive industries play a crucial role in cluster development strategies. Empirical cluster research has to contribute to the understanding the process of cluster formation. In particular for developing profound clusters strategies and assessing the limits cluster policy, knowledge of existing structures and tendencies is necessary. In these strategies, high-tech and research-intensive industries play a crucial role. Audretsch and Feldman argue that industries with high innovation activity tend to cluster for exploiting benefits from tacit knowledge flows. Krugman stresses that information flows and knowledge spillovers may be sensitive to geographic impediments. Since obstacles tend to rise with increasing distance, spatial clusters may be localised. If, however, geographic barriers are less relevant, the reach of tacit knowledge flows may be much larger. For regional policy the geographical level at which clusters occur is of prominent interest. Traditional concentration indices like the Gini coefficient, Theils’s inequalitiy index or the Ellison-Glaeser index are ‘aspatial’ by construction. This means that these indices disregard relevant spatial information on the distribution of a geo-referenced variable. In particular, attribute values of adjacent regions are completely ignored. Moreover, the spatial scale of clustering formation is not taken into account. First experiences with methods of exploratory spatial data analysis (ESDA) like local Moran’s I and Getis-Ord Gi statistics in pattern recognition are available. Le Gallo and Ertur (2003) utilise local indicators of spatial association to analyse the distribution of regional GDP per capita in Europe. Feser et al. (2005), Lafourcade and Mion (2007) and Kies et al. (2009) demonstrate the potential of these ESDA techniques in identifying economic clusters and spatial heterogeneity in geographical space. However, while usually local Moran’s I and Getis-Ord Gi statistics are applied in detecting economic clusters, up to now spatial scan techniques are largely ignored (Kang, 2010). In this paper, advantages and pitfalls of spatial scan tests in identifying R&D clusters are examined. Some essentials in implementing spatial scan techniques in economic clusters research are worked out.
    Date: 2012–10
    URL: http://d.repec.org/n?u=RePEc:wiw:wiwrsa:ersa12p232&r=ino
  35. By: Eleonore Huang Vogel
    Abstract: Decision-making, incentives, environmental frameworks and support mechanism are often subject to entrepreneurship research striving to explain how and why academics engage in entrepreneurial activities. The focus is most often on the academics’ rather linear individual transformation from an idea owner to a new business entrepreneur.This paper proposes an alternative network based view of academic entrepreneurship drawing concepts from interdisciplinary theories. Entrepreneurship is described as: (1) integrated in formal and informal networks; (2) hindered or eased by these linkages; and (3) shaped by the opportunities (idea recognition, experience, finance etc.) within these networks. The academia produces new knowledge that through entrepreneurial activities transform into innovations in the market place. Academic entrepreneurship therefore naturally combines the perspectives of entrepreneurship and innovation. However, despite many common touching grounds these strands of research are rarely conceptually intertwined. Research on the role of the academia within the innovation process of knowledge-based economies highlight the meaning of inter-institutional links and give reason to assume that closer links between industry and the academia would benefit commercialization. However, little is known about the structure, strength and nature of these links. This paper has two purposes. 1) To examine the structure, strength and significance of networking to entrepreneurship with a deepened focus on opportunity recognition (commercial value) and exploitation in the perspective of academic entrepreneurship. 2) To develop a working hypothesis to be empirically tested with the aim to contribute towards theory building for these unanswered questions, for which it does not exist a cohesive normative, predictive, or explanatory theory. Method – Using an interdisciplinary theoretical framework a sample of academic entrepreneurs in the region of Fujian province in China is analyzed through data based on interviews. Paper contribution - This framing has potential for practical relevance and academic inquiry. It forces acknowledgement of the close connection between social and economic conditions for academic entrepreneurship and the role of networks for academic entrepreneurship. It also untangles a web of formal support systems and informal entrepreneurial networks. Conclusion - The process of the idea commercialized on the market may not be seen as a linear process, in which the academic owns the idea (identification of the commercial viable science) and becomes the entrepreneur by starting a company but rather as a dynamic process in which the origin of the idea may come from outside, indentified by members within the network of the academic and the appreciation of its commercial value, and the necessary resources (finance, entrepreneurial experience, re-innovation processes etc.) is added by yet others within the network. The presented concept describes academic entrepreneurial actions as non-isolated, non-deterministic, and dynamic co-creating through networks.  
    Date: 2012–10
    URL: http://d.repec.org/n?u=RePEc:wiw:wiwrsa:ersa12p1091&r=ino

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