Between spilling over and boiling down: Network-mediated spillovers, local knowledge base and productivity in European regions
Productivity across European regions is related to three types of networks that mediate R&D-related knowledge spillovers: trade, co-patenting and geographical proximity. Both our panel and instrumental variable estimations for European regions suggest that network relations are crucial sources of R&D spillovers, but with potentially different features. Both import and co-patenting relations affect local productivity directly, but spillovers from innovation-leading regions are effective only when they are import-mediated and when recipient regions have a solid knowledge base. From a policy perspective, this may frustrate recent European policy initiatives, such as Smart Specialization, which are designed to benefit all regions in Europe.
|Keywords||economic networks, knowledge, O32, Productivity, R11, regions, trade|
|JEL||Regional Economic Activity: Growth, Development, and Changes (jel R11), Management of Technological Innovation and R&D (jel O32)|
|Persistent URL||dx.doi.org/10.1093/jeg/lby058, hdl.handle.net/1765/126569|
|Journal||Journal of Economic Geography|
Cortinovis, N, & van Oort, F.G. (2019). Between spilling over and boiling down: Network-mediated spillovers, local knowledge base and productivity in European regions. Journal of Economic Geography, 19(6), 1233–1260. doi:10.1093/jeg/lby058