What do we know about geographical knowledge spillovers and regional growth?: A survey of the literature

Abstract

Standard-Nutzungsbedingungen:Die Dokumente auf EconStor dürfen zu eigenen wissenschaftlichen Zwecken und zum Privatgebrauch gespeichert und kopiert werden.Sie dürfen die Dokumente nicht für öffentliche oder kommerzielle Zwecke vervielfältigen, öffentlich ausstellen, öffentlich zugänglich machen, vertreiben oder anderweitig nutzen.Sofern die Verfasser die Dokumente unter Open-Content-Lizenzen (insbesondere CC-Lizenzen) zur Verfügung gestellt haben sollten, gelten abweichend von diesen Nutzungsbedingungen die in der dort genannten Lizenz gewährten Nutzungsrechte. with persistently different levels of growth. This paper provides a survey of theoretical and empirical findings on this. Terms of use: Documents in• The theoretical concept of knowledge spillovers is outlined by discussing the different types of knowledge, the spatial dimension of knowledge spillovers, and the geographical mechanisms and structural conditions of knowledge diffusion. Such spillovers lead to dynamic externalities, and to agglomeration effects in the geographical dimension. Both effects constitute path dependencies in the economic growth of regions.• Existing recent empirical studies mainly support the theoretically derived hypotheses. This applies especially to the importance of knowledge spillovers for regional productivity and innovative behaviour.• In addition to the large number of surveyed contributions, the paper refers also to unanswered questions, i.e. the normative question whether the theoretical considerations and empirical evidence warrant any economic policy measures actively encouraging knowledge spillovers.Thomas Döring, University of Kassel and Philipps-University Marburg Jan Schnellenbach, Philipps-University Marburg What Do We Know About Geographical Knowledge Spillovers and Regional Growth? -A Survey of the LiteratureThomas Döring University of Kassel and Philipps-University Marburg and Jan Schnellenbach * Philipps-University Marburg AbstractModern (endogenous) growth theory tells us that knowledge spillovers are crucial for the growth of high-income economies. Against this background the paper provides a survey of theoretical and empirical findings highlighting the question of how geographically limited knowledge diffusion can help to explain clusters of regions with persistently different levels of growth. The paper discusses this topic in two steps: First, the theoretical concept of knowledge spillovers is outlined by discussing the different types of knowledge, the spatial dimension of knowledge spillovers, and the geographical mechanisms and structural conditions of knowledge diffusion. This discussion shows that the literature on knowledge spillovers focuses on the hypotheses that such spillovers lead to dynamic externalities and -in the geographical dimension -to agglomeration effects, both of which constitute path dependence in the economic growth of regions. Second, the paper analyses the empirical evidence for these theoretical findings. Existing empirical work mainly supports the theoretically derived hypothes...

A Network-based view of regional growth

“…Converse to knowledge spillover models, models of cumulative causation consider knowledge to be a private good that is utilised by a clearly confined group of users (Myrdal, 1957;Döring and Schnellenbach, 2006). However, as Döring and Schnellenbach (2006) argue, both the knowledge spillover and cumulative causation theses can be criticised to some extent for their lack of realism.…”

“…Knowledge may have the potential to spill over from one organisation to another, but knowledge access or acquisition is dependent on cumulative processes whereby 'new' incoming knowledge is utilisable only when there is the necessary complementary knowledge already in place in the receiving organisation (Döring and Schnellenbach, 2006). This is considered to require the development of absorptive capacity, defined as the ability to recognise the value of new, external knowledge, assimilate it, and apply it to commercial ends, i.e.…”

Knowledge Spillover Agents and Regional Development

“…There seems to be a widespread consensus that also spillovers constitute an important type of and specific channel for knowledge transfer and that these externalities have a positive impact on innovation and growth ( Tödtling et al 2006). The mobility of highly skilled personnel (or the transfer of human capital) represents another core mechanism for the spilling over of (embodied) knowledge ( Arrow 1959;Matusik and Hill 1998;Argote and Ingram 2000;Rosenkopf and Almeida 2003;Moen 2005;Döring and Schnellenbach 2006).…”

Onward the Spatial: an Essay on the Nature and Relevance of Regional Economics

“…patents. These studies often find larger ranges for the knowledge spillovers, which can be up to 300 km (Döring and Schnellenbach, 2006), although for OECD countries, Keller (2002) finds it is 1200 km for the half-life distance of R&D spending! The third approach is based on case study, but where the distance is found to depend on the nature of the activity being studied (Cumbers and Mackinnon, 2004).…”

“…It suggests that the appropriate spatial scale is an empirical matter, but even here there is no agreement. Döring and Schnellenbach (2006) survey the literature and find "a wide-spread consensus that spatially confined knowledge-spillovers are an important empirical phenomenon" (p. 383), but that the "majority of studies refuse to quantify the range at all" (p. 384). In fact, not only is there is little agreement on the distance over which they occur, but uncertainty over the nature of the externality itself (see Roberts and Setterfield, 2007).…”