Public innovation subsidies in a regional environment are expected to unfold a positive economic impact over time. The focus of this paper is an assessment of the long-run impact of innovation and innovation subsidies in German regions. We scrutinize this by an estimation approach combining panel model and time series characteristics and using regional data for the years 1980 to 2014. The results show that innovation and innovation subsidies in the long run have a positive impact on the economic development of regions in Germany. This supports a long-term strategy for regional and innovation policy.
In this paper we investigate the impact of regional and technological innovation systems on innovation cooperation. We develop an indicator applicable to regions, which demonstrates the relative regional impact on innovation cooperation. Applying this method to German patent data, we find that regional differences in the degree of innovation cooperation do not only depend on the technology structure of a region but also on specific regional effects. High-tech oriented regions, whether east or west, are not automatically highly cooperative regions. East German regions have experienced a dynamic development of innovation cooperation since re-unification in 1990. Their cooperation intensity remains higher than in West German regions.
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