nep-knm New Economics Papers
on Knowledge Management and Knowledge Economy
Issue of 2020‒08‒10
four papers chosen by
Laura Ştefănescu
Centrul European de Studii Manageriale în Administrarea Afacerilor

  1. Bank lending in the knowledge economy By Dell’Ariccia, Giovanni; Minoiu, Camelia; Ratnovski, Lev; Kadyrzhanova, Dalida
  2. Impact of knowledge search practices on the originality of inventions: a study in the oil & gas industry By Quentin Plantec; Pascal Le Masson; Benoit Weil
  3. The Intellectual Spoils of War? Defense R&D, Productivity and International Spillovers By Moretti, Enrico; Steinwender, Claudia; Van Reenen, John
  4. Blurring global epistemic boundaries: The emergence of traditional knowledge in environmental governance By López-Rivera, Andrés

  1. By: Dell’Ariccia, Giovanni; Minoiu, Camelia; Ratnovski, Lev; Kadyrzhanova, Dalida
    Abstract: We study the composition of bank loan portfolios during the transition of the real sector to a knowledge economy where firms increasingly use intangible capital. Exploiting heterogeneity in bank exposure to the compositional shift from tangible to intangible capital, we show that exposed banks curtail commercial lending and reallocate lending to other assets, such as mortgages. We estimate that the substantial growth in intangible capital since the mid-1980s explains around 30% of the secular decline in the share of commercial lending in banks' loan portfolios. We provide suggestive evidence that this reallocation increased the riskiness of banks' mortgage lending. JEL Classification: E22, E44, G21
    Keywords: bank lending, commercial loans, corporate intangible capital, real estate loans
    Date: 2020–06
  2. By: Quentin Plantec (CGS i3 - Centre de Gestion Scientifique i3 - CNRS - Centre National de la Recherche Scientifique - PSL - PSL Research University - MINES ParisTech - École nationale supérieure des mines de Paris, Institut National de la Propriété Industrielle (INPI)); Pascal Le Masson (CGS i3 - Centre de Gestion Scientifique i3 - CNRS - Centre National de la Recherche Scientifique - PSL - PSL Research University - MINES ParisTech - École nationale supérieure des mines de Paris); Benoit Weil (CGS i3 - Centre de Gestion Scientifique i3 - CNRS - Centre National de la Recherche Scientifique - PSL - PSL Research University - MINES ParisTech - École nationale supérieure des mines de Paris)
    Abstract: The paper suggests a new taxonomy of knowledge search modes to describe the creative process of new invention design, in particular how firms combine knowledge components from their own knowledge base-taking into account both the components and the structures of knowledge bases-with those from newly acquired or newly internally developed. Using network theory techniques, we defined four knowledge search modes: (1) refinement, (2) clustering, (3) absorption and (4) recomposition. We conducted an exploratory study on the oil & gas industry, reviewing 50,776 utility patents filed by 16 major firms between 1989 and 2016. The results showed, first, that firms relied to varying extents on different knowledge search modes in their invention design processes. Second, reviewing the technological originality of the designed inventions showed that simply absorbing new knowledge components, without major changes in knowledge base structure, was associated with low technological originality, but constituted one of the main knowledge search modes used by the analyzed firms. In contrast, major changes in knowledge base structure favored technological originality, with or without new knowledge components, but were nevertheless the least used mode. Understanding organizational learning practices associated with the phenomena described here can foster innovation performance in firms.
    Keywords: Knowledge search,Patent,Oil & gas,technological originality,knowledge base
    Date: 2020–08–11
  3. By: Moretti, Enrico; Steinwender, Claudia; Van Reenen, John
    Abstract: In the US and many other OECD countries, expenditures for defense-related R&D represent a key policy channel through which governments shape innovation, and dwarf all other public subsidies for innovation. We examine the impact of government funding for R&D - and defense-related R&D in particular - on privately conducted R&D, and its ultimate effect on productivity growth. We estimate models that relate privately funded R&D to lagged government-funded R&D using industry-country level data from OECD countries and firm level data from France. To deal with the potentially endogenous allocation of government R&D funds we use changes in predicted defense R&D as an instrumental variable. In both datasets, we uncover evidence of "crowding in" rather than "crowding out," as increases in government-funded R&D for an industry or a firm result in significant increases in private sector R&D in that industry or firm. A 10% increase in government-financed R&D generates 4.3% additional privately funded R&D. An analysis of wages and employment suggests that the increase in private R&D expenditure reflects actual increases in R&D employment, not just higher labor costs. Our estimates imply that some of the existing cross-country differences in private R&D investment are due to cross-country differences in defense R&D expenditures. We also find evidence of international spillovers, as increases in government-funded R&D in a particular industry and country raise private R&D in the same industry in other countries. Finally, we find that increases in private R&D induced by increases in defense R&D result in significant productivity gains.
    Keywords: Defense; Innovation; productivity; R&D
    Date: 2019–12
  4. By: López-Rivera, Andrés
    Abstract: In the wake of the 1992 Earth Summit in Rio de Janeiro, 'traditional knowledge' became a recurring theme in global environmental governance. The emergence of traditional knowledge in a governance field marked by global science begs the following question: how is it that a particular set of intellectual activities other than science came to be perceived as a form of knowledge whose attributes are valuable for governing the global environment? This paper aims to grapple with this question by tracing the emergence of the category of traditional knowledge in global environmental governance. The main argument is that traditional knowledge came to be conceived of as a cognitive resource with utilitarian and 'glocal' properties through a series of interventions on the part of public scientists and landmark environmental reports that blurred the boundaries between science and nonscience. Building upon the concept of boundary work in Science and Technology Studies, this paper puts forth the concept of boundary blurring to analyze how aspects of science are attributed to traditional knowledge, thus attenuating the demarcation between science and other forms of knowledge. Boundary blurring works as a form of legitimation of traditional knowledge and, through the attribution of knowledge to nonscientific actors, opens up a space for these to make knowledge claims in global governance processes. Ultimately, the analysis throws light on the constitution of unconventional 'knowledge actors' in global governance, in particular indigenous peoples and local communities.
    Keywords: Boundary blurring,Traditional knowledge,Indigenous peoples,Global environmental governance
    Date: 2020

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