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It has long been recognized that advances in science contribute to economic growth. While it is one thing to argue that such a relationship exists, it is quite another to establish the extent to which knowledge spills over within and between sectors of the economy. Such a research agenda faces numerous challenges. Not only must one seek measures of inputs, but a measure of output is needed as well to estimate the knowledge production function. The identification of such a measure was a compelling goal for Zvi Griliches, if not the holy grail: “The dream of getting hold of an output indicator of inventive activity is one of the strong motivating forces for economic research in this area.” (Griliches 1990, p. 1669). Jaffe (1989) made a significant contribution to estimating the knowledge production function when he established a relationship between patent activity and R&D activity at the state level. Feldman and coauthors (1994a, 1994b) added considerably to this line of research, focusing on innovation counts as the dependent variable instead of patent counts. This work was particularly important given that many innovations are never patented. Feldman’s work also differentiated by firm size and showed that knowledge spillovers from universities play a key role as sources of knowledge for small firms.
Utilizing a unique data set, Zoltan Acs and David Audretsch provide a rich empirical analysis of the increased importance of small firms in generating technological innovations and their growing contribution to the U.S. economy. They identify the contributions made by both small and large firms to the innovative process and the manner in which market structure, and the firm-size distribution in particular, responds to technological change. The authors' analysis relies on traditional theories of industrial organization and tests existing hypotheses, many of them previously untested due to data constraints. Innovation and Small Firms brings together two large data bases recently released by the U. S. Small Business Administration - one directly measuring innovative activity for large and small firms, the other providing a detailed census of economic activity for all manufacturing firms and plants across a broad spectrum of industries. Acs and Audretsch describe and evaluate the data bases in the context of the literature on innovation, market structure, and firm size. They present their findings on the presence of small firms, small-firm entry in manufacturing, small-firm growth and flexible technology, and mobility and firm size. They compare static and dynamic measures of small-firm viability and address the relationships between R&D, innovation, and productivity, and analyze the interaction between technological regimes and the role of government in innovation.
This book offers a geographic dimension to the study of innovation and product commercialization. Building on the literature in economics and geography, this book demonstrates that product innovation clusters spatially in regions which provide concentrations of the knowledge needed for the commercialization process. The book develops a conceptual model which links the location of new product innovations to the sources of these knowledge inputs. The geographic concentration of this knowledge fonns a technological infrastructure which promotes infonnation transfers, and lowers the risks and the costs of engaging in innovative activity. Empirical estimation confinns that the location of product innovation is related to the underlying technological infrastructure, and that the location of the knowledge inputs are mutually reinforcing in defining a region's competitive advantage. The book concludes by considering the policy implications of these fmdings for both private finns and state governments. This work is intended for academics, policy practitioners and students in the fields of innovation and technological change, geography and regional science, and economic development. This work is part of a larger research effort to understand why the location of innovative activity varies spatially, specifically the externalities and increasing returns which accrue to location. xi Acknowledgements This work has benefitted greatly from discussions with friends and colleagues. I wish to specifically note the contribution of Mark Kamlet, Wes Cohen, Richard Florida, Zoltan Acs and David Audretsch. I would like to thank Gail Cohen Shaivitz for her dedication in editing the final manuscript.
Makes correlations between success and geography, explaining how such rising centers of innovation as San Francisco and Austin are likely to offer influential opportunities and shape the national and global economies in positive or detrimental ways.
Providing nuanced insight into key areas of innovation studies, this erudite second edition acknowledges the significance of innovation within the informal economy. It contributes to the broader scholarly discourse on innovation indicators and measurement, exploring the nature and rate of recent developments within the field.
With scientific progress occurring at a breathtaking pace, science and technology policy has never been more important than it is today. Yet there is a very real lack of public discourse about policy-making, and government involvement in science remains shrouded in both mystery and misunderstanding. Who is making choices about technology policy, and who stands to win or lose from these choices? What criteria are being used to make decisions and why? Does government involvement help or hinder scientific research? Shaping Science and Technology Policy brings together an exciting and diverse group of emerging scholars, both practitioners and academic experts, to investigate current issues in science and technology policy. Essays explore such topics as globalization, the shifting boundary between public and private, informed consent in human participation in scientific research, intellectual property and university science, and the distribution of the costs and benefits of research. Contributors: Charlotte Augst, Grant Black, Mark Brown, Kevin Elliott, Patrick Feng, Pamela M. Franklin, Carolyn Gideon, Tené N. Hamilton, Brian A. Jackson, Shobita Parthasarathy, Jason W. Patton, A. Abigail Payne, Bhaven Sampat, Christian Sandvig, Sheryl Winston Smith, Michael Whong-Barr
Zoltan Acs explores the relationship between industrial innovation and economic growth at regional level and reaches conclusions as to why some regions grow and others decline. The book focuses on innovation and the growth of cities by the use of endogenous growth theory.
The spillovers in knowledge among largely college-educated workers were among the key reasons for the impressive degree of economic growth and spread of entrepreneurship in the United States during the 1990s. Prior 'industrial policies' in the 1970s and 1980s did not advance growth because these were based on outmoded large manufacturing models. Zoltan Acs and Catherine Armington use a knowledge spillover theory of entrepreneurship to explain new firm formation rates in regional economies during the 1990s period and beyond. The fastest-growing regions are those that have the highest rates of new firm formation, and which are not dominated by large businesses. The authors of this text also find support for the thesis that knowledge spillovers move across industries and are not confined within a single industry. As a result, they suggest, regional policies to encourage and sustain growth should focus on entrepreneurship among other factors.
Entrepreneurship and innovation are arguably the main drivers of economic development today. This book explores the two in depth, at both the national and regional levels, using a variety of methodologies. The expert contributors discuss the subject from a policy perspective, with case studies from a host of countries including new member states of the EU as well as established EU member states. Split into three parts, the book focuses on: innovation, entrepreneurial activity and regional development, and entrepreneurship and SME policy.