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This paper studies how the previous experience among workers relates to the labor productivity of the creative industries in Sweden. Effective knowledge transfers are dependent on the cognitive distance among employees. Using longitudinal matched employer-employee data, I measure the portfolio of the skills within a workplace through (i) the workers' previous occupation, and (ii) the industry they have been working in previously. Estimates show that diversity of occupational experience is positive for labor productivity, but the diversity of industry experience is not. When distinguishing between related and unrelated diversity, the relatedness of occupational experience is positive for labor productivity, while unrelated occupational experience instead shows negative relationship with productivity. These results point towards the importance of occupational skills that workers bring with them to a new employment, for labor productivity. [ABSTRACT FROM AUTHOR]

This paper develops an endogenous growth model with doubly differentiated R&D being the growth engine. The model incorporates dynamic structural change and heterogeneous knowledge spillovers. As a result, decentralized economy may exhibit non-monotonic growth paths and declining R&D productivity. Conditions on the knowledge spillover operator granting the existence of balanced growth for first-best and market economies are obtained. Different regulation tools helpful in achieving the sustainable path and their limits are studied. [ABSTRACT FROM AUTHOR]

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This study analyses the role of regional characteristics, particularly regional knowledge spillovers, as drivers of total factor productivity (TFP) growth in 190 European regions. A new modelling approach for knowledge spillovers that is different from the commonly used neighbourhood matrices is proposed. Therefore, by estimating the impact of drivers on TFP growth, findings reveal a strong direct effect of TFP spillovers alongside factors such as research and development (R&D) spending, cultural values or perceived quality of governance. However, the results also show that the openness of regional society to progress is a prerequisite for the effective use of existing knowledge. [ABSTRACT FROM AUTHOR]

This paper explores the determinants of knowledge flows, proxied by patent citations, within 31 Chinese administrative provinces. Relying on patent data from the US Patent and Trademark Office during the period 1995-2019, we are able to identify 27118 patent citation pairs (focusing only on USPTO patents with first inventors residing in China). In order to explain the number of citations from a Province to another, in addition to geographic and technological proximity, we use factor analysis in order to capture the effect of regional research structure. In particular, we measure the private versus public research intensity of each Chinese administrative province. Our econometric results show that, as expected, geographical and technological distance between Provinces are negatively correlated with patent citations. In addition, we find that Chinese administrative provinces that show bigger intensity with regard to public and to private research both receive more patent citations and cite more other patents in other Provinces. This effect is particularly significant when the two regions are specialized in private research, which indicates a strong effect of cognitive proximity. Finally, and at odds with prior research, we find that controlling for social proximity between Provinces does not impact the effect of geographical and technological proximity. These results, if confirmed by further studies, might have significant policy implications. [ABSTRACT FROM AUTHOR]

Despite the growing importance of implementing digital technologies in business contexts, empirical research relating to digital capabilities, innovation, and business performance still remains scarce, particularly relevant in these times of disruption. This study proposes a mediated-moderated framework to describe, according to the level of economic development of the country of firm location, the direct and indirect effects (mediated by digital capabilities and innovation) of knowledge spillovers on firm performance. We carried out a quantitative study deploying the longitudinal World Bank Enterprise Surveys for 2019, 2020 and 2021 in a dataset that included 27,727 firms from 41 countries and territories. We applied the partial least square structural equation modelling (PLS-SEM) methodological approach to test the mediated-moderated model that explains business performance. The results identify how knowledge spillovers positively influence firm performance through digital capabilities and innovation. Furthermore, we empirically demonstrate that the national level of economic development moderates the direct and indirect impacts of knowledge spillovers on firm performance. • Our study advances on knowledge spillover theory. • We present a mediated-moderated framework to assist the effects of knowledge spillovers on firm performance. • This study examines how digital capabilities impact the relationship between knowledge spillovers and company performance. • Our research shows how knowledge spillovers drive innovation and improve firms' performance, leading to value creation. [ABSTRACT FROM AUTHOR]

The purpose of the paper is to expand understanding of knowledge spillovers from productivity linkages between multinational and local companies. It also seeks to identify the relationship between productivity linkages and absorptive capacity. The study applied qualitative case methodology in the medical equipment sector in Costa Rica and Germany. By means of a theoretical model described in the detail in the article body, it was possible to identify how the communication channels, the host country characteristics as well as its institutional framework had an effect in the phenomenon under study. It was possible to identify important facts about the topic studied within this business sector. Likewise, the eight cases under study proved that local companies’ absorptive capacity improved with the knowledge acquired by productive linkages. Implications and recommendations for further company strategy, government efforts, as well as future lines of research on supplier networks’ productivity are formulated.

In China, there are so many patients go to the highest-level hospitals to get medical treatment directly, it is essential to study how to guide patients to take the initiative to go to the basic medical institutions first in most cases. The information asymmetry theory and the game model are applied for rational analysis in this paper. We construct two models, a doctor-patient signaling game model to study the dynamic process of patients who seek medical treatment to hospitals that are trustworthy, and a two-level treatment game model to study how to achieve a hierarchical diagnosis and reasonable referral in the case of different types of patients (general and serious conditions), considering the knowledge spillover variables supported by big data to analyze the changes in the total utility of the medical market, hospitals, and patients. With the first model analysis, it points out that only when there are three preconditions, namely, high disguising cost, controlling the income of diagnosis and treatment, and reducing the losses caused by untrustworthy behaviors, can trust signals play a real role and achieve the coordination of the optimal market type. In addition to the second model analysis, it is found that the hierarchical medical system with optimizing the allocation of medical resources has a positive effect on the benefit of the medical system and the improvement of the total welfare of patients. It also shows that the full application of big data system can further enhance the total benefit of the medical system under this system. This paper gives management suggestions for strengthening information transmission, rational design of communication system, promotion and application of big data intelligent diagnosis, and treatment for medical management departments and medical institutions at all levels to make decisions.

The technological effects of innovative regions on lagging regions’ labor markets have not been yet well understood, especially in the urban–rural context. I introduce a theoretical model that yields insight into the interactions between high-technology and lagging regions. While, through knowledge spillovers, urban technology can increase rural jobs, it can also reduce rural employment by raising the competitive advantage of urban firms over rural firms in product market competition. Progress in urban technology also exerts an ambiguous effect of a brain drain on the rural labor market.

The purpose of this study is to compare the consequences of, first, quantity leadership, and, second, price leadership competition of duopolists for their R&D investments, within the situation of a cartelized industry. Using game-theoretical approach and numerical analysis, it turns out that under quantity leadership, the R&D investments of enterprises decline with the increasing knowledge spillovers in the industry. The relative R&D expenditures of the Stackelberg follower are lower and they decline significantly faster than the R&D investments of the Stackelberg leader. Each enterprise supplies the lowest value of the final product when a research joint venture is formed, which also results in the highest market price. Under price leadership, a larger extent of knowledge spillovers in the industry leads to the reduction of R&D expenditures by both enterprises. The highest price of the final product is set when a research joint venture is formed. In a cartelized industry, the lowest values of R&D expenditures occur when there are no knowledge spillovers between enterprises, or when they form a research joint venture at the R&D stage. The highest values of R&D investments are observed for the medium values of knowledge spillovers. Performed analysis allows to conclude that tightening of cooperation in research and development between competitors creates incentives for them to fully cartelize the market.

This paper investigates how industry research and development (R&D) may shape the rate and direction of research at geographically proximate universities and explores the mechanisms leading to such geographical localization of industry influence. Endogeneity concerns related to the selection of industry location were addressed by using the unique setting of the agricultural biotechnology revolution of the 1980s. The emergence of plant biotechnology spurred the entry of nonbiotechnology agribusiness incumbents into genetic engineering, creating a quasi-natural experiment for universities located near the company R&D headquarters. Relative to the control universities identified by coarsened exact matching, the universities within a 50-mile radius of the incumbent R&D headquarters show an approximate 28.5% increase in industry-relevant research output after the company's entry into agricultural biotechnology R&D. The effect of industry R&D is stronger for research on major cash crops. Additional analysis suggests that local university-industry coauthorships, which proxy for local industry funding, may be a leading mechanism behind the effect. Overall, the results highlight the roles of R&D-intensive anchor tenants in the geography of academic knowledge production. The findings are relevant for regional policymakers and managers considering strategic placements of corporate R&D locations. [ABSTRACT FROM AUTHOR]

This paper analyses the link between the efficiency of regional higher education systems and the rates of regional economic development between 2012 and 2015 in Russia. The efficiency scores are calculated at the institutional level using Two-stage Semi-parametric data envelopment analysis. Then, the scores are aggregated at the regional level. We formulate an economic growth model that considers the efficiency of regional higher education systems as one of the explanatory variables. As an econometric method, we employ a robust GMM estimator. The findings highlight a positive, and statistically significant effect of higher education institutions efficiency on the regional economic growth. We also found negative spillover effects. [ABSTRACT FROM AUTHOR]

This paper investigates whether inflows of FDI and innovative activities act as a channel of knowledge spillovers in improving quality of countries' output. In measuring export quality, sophistication of a country's export basket is utilized. Utilizing panel data of countries for the period 2002-2015 and applying GMM methodology, the results indicate that the level of financial development, the quality of human capital and globalization of a country have a determinant role on the relation between knowledge spillover channels and the quality of exports. Patent applications generally positively affect sophistication of exports. FDI serves as a channel for knowledge spillovers to benefit the sophistication level of exports only for developed, more educated, financially developed and globalized countries. [ABSTRACT FROM AUTHOR]

Knowledge spillovers and entrepreneurial ecosystems are amongst the most popular emerging research topic areas due to their theoretical and practical relevance. The aim of this article is to discuss the reason for embedding a knowledge management perspective within the entrepreneurial ecosystem literature. This enables an identification of the types of knowledge relevant for entrepreneurship and how to cultivate an entrepreneurial ecosystem. By focusing on the intersection of knowledge and entrepreneurship within an ecosystem environment, it enables a more holistic understanding of the diversity required to enable creativity to develop. Thereby leading to a more progressive theory of knowledge spillovers that embeds a more blatant ecosystem view. This helps to move the literature forward and provides new ways of thinking about knowledge spillovers and entrepreneurial ecosystems. The articles conclude by summarising the articles in the special journal issue and provides suggestions for future research. [ABSTRACT FROM AUTHOR]

This paper examines the influence of related variety (RV) and unrelated variety (UV) on the basic variables of the labour market, i.e.: employment growth rates, increase in unemployment rates and real gross wages in the regional approach in Poland. The basic difference between the presented and the current research in this area is that the RV and the UV are introduced into the estimation taking into account the basic determinants of the analysed labour market variables resulting from simple economic models. Moreover, an attempt was made to determine the impact of the RV and the UV on real gross wages, which was not covered in the literature. The research was based on panel data for 16 Polish voivodships (NUTS2) and in the group of regions of Western Poland in the years 2004–2017 using SYS-GMM estimator of Dynamic Panel Data Model. In this paper, a significant positive impact of the RV on the rate of employment growth and wages was found, as well as a negative correlation between the RV and the increase in unemployment rates. On the other hand, the UV positively determined the increase in unemployment rates. [ABSTRACT FROM AUTHOR]

This paper uses citations to university-issued patents to investigate the knowledge flow from 91 US research universities to businesses assigned to 142 US cities or metropolitan areas (MSAs) from which they filed their patent applications. The citation of university patents depends on the various types of separation between the universities (origin) and businesses (destination) measured by distance, technological compatibility, and the presence of a state or local border. The analysis also accounts for university and citing region fixed effects. We use these to report original measures of the ability of universities to diffuse knowledge and the capacity of firms in MSAs to absorb university knowledge. We find that citations to university patents are significantly higher for universities in the same location as the citing firms, and the same location effect is greater for public than private universities. The distance indicator variables show that citations at distances beyond 50 miles are not different from citations beyond 2000 miles. Technological compatibility of university and industry patents has a large impact on university patent citations and exhibits considerably variation across university–MSA/city pairs. MIT has the largest fixed effect (diffusion) estimate, and its value is more than twice the diffusion estimate of Stanford, the university with the second highest value. The academic quality of universities and characteristics of their technology transfer office are found to positively impact the ability of universities to diffuse knowledge. [ABSTRACT FROM AUTHOR]

Objective - The purpose of this study is to investigate both "technology" and "knowledge" effects of foreign direct investment (FDI) on labour productivity in the medium-high manufacturing industries' classification in Malaysia. Methodology/Technique -This study employs a Seemingly Unrelated Regression (SUR) estimator. Findings - The results conclude that diffusion of knowledge, which increases labour productivity, is greater via "learning effects" as compared to the investor countries' capital investments in the medium-high manufacturing industries. Novelty -This study expands the body of knowledge about the benefits of FDI spillovers on labour productivity according to specific investor countries, however, are rarely researched particularly in developing countries and at the industry level. [ABSTRACT FROM AUTHOR]

This article explores how team learning is enhanced through facilitated knowledge sharing, leading to knowledge teams that are capable of identifying knowledge gaps and crossing knowledge boundaries. Based on a qualitative study, vignettes are used to illustrate the dynamics of team learning in different situational contexts, facilitating the way knowledge plays out at the intersection of knowledge boundaries. The study examines how team members integrate or downplay knowledge resources based on the trajectory of participation and learning. Such trajectory helps determine the extent to which knowledge spillovers create wider networks of learning, leading to different forms of organizational learning. [ABSTRACT FROM AUTHOR]

This is among the few studies to test the Knowledge Spillover Theory of Entrepreneurship (KSTE) at the city level in a developing country i.e. Pakistan. KSTE is in its empirical infancy; while the theory has been lauded for its advancement of microeconomic foundations in endogenous growth theory, there is scant literature on just how well KSTE holds when tested empirically outside the developed world. This study uses a novel dataset to measure knowledge stock and spillovers in ten major cities across Pakistan to answer the question: What is the role of knowledge spillover in the creation of business firms in cities of a developing country? The study provides valuable insights into the factors that lead to higher levels of firm creation through panel data analysis of ten cities of Pakistan during 2002–2014, and also contributes to captivating the global appeal for KSTE by testing the theory empirically in a developing country. [ABSTRACT FROM AUTHOR]

We examine whether establishing a new university (or faculty) in a region affects new firm creation within that given region. We identified a quasi-experimental design based on Spain's 1983 University Reform Act, which opened the door to founding new universities at the regional level. We use a generalized difference-in-difference model to estimate this relationship. The results indicate that establishing a new university has a significant positive effect on new firm creation. We then introduce an analysis by the field of knowledge of the created university/faculty and the creation of firms in different categories of sectors defined according to their research and development intensity. In this case, the results show that creating a new university/faculty has a significant positive effect on firm formation in medium-high- and medium-low-technology manufacturing as well as in knowledge-intensive market and financial services. Moreover, creating a health faculty has a significant positive effect on new firm formation in the high-tech manufacturing sector. Finally, the results indicate ambiguous results from different sources of agglomeration economies. [ABSTRACT FROM AUTHOR]

El objetivo de este artículo es presentar una caracterización de las pequeñas y medianas empresas tecnológicas mexicanas y analizar los mecanismos por los cuales se insertan en segmentos de alto valor agregado en cadenas globales de valor. La metodología utilizada es de tipo mixto; incluye la creación de un directorio nacional de pequeñas y medianas empresas tecnológicas mexicanas, la aplicación de una encuesta por muestreo y la realización de entrevistas en profundidad. Entre los resultados relevantes destacan la distribución geográfica y sectorial de estas empresas (82% están concentradas en 15 zonas metropolitanas con alta presencia de empresas multinacionales) y la identificación de los mecanismos de adquisición de las capacidades tecnológicas y empresariales que les permiten competir en segmentos de alto valor agregado. Una limitación de este trabajo deriva del análisis aún incipiente de la amplia base de datos generada por la investigación en la que está basado. Las conclusiones más importantes son dos: las pequeñas empresas tecnológicas mexicanas se concentran en las zonas con mayor flujo de inversión extranjera directa en el país, y los mecanismos de creación y escalamiento se relacionan con las derramas de conocimiento de las empresas multinacionales y con la maduración de algunos sistemas de innovación regional.

This article is a second chapter of the analytical review of existing theoretical models of a relationship between economic growth / GDP and indicators of science and innovation activities and empirical approaches to testing this relationship. Aim of the paper is a systematization of existing approaches to modeling of economic growth geared by science and innovations. The novelty of the current review lies in the authors’ criteria of interconnectedness of theoretical and empirical studies in the systematization of a wide range of publications presented in a final table-scheme. In the first chapter of the article, the authors discuss evolution of theoretical approaches while in the second chapter they present a time gap between theories and their empirical verification caused by the level of development of quantitative instruments such as econometric models. Results of the current study can be used by researchers and graduate students for familiarization with current scientific approaches that manifest a progress from theory to the empirical verification of the relationship «economic growth-innovations» for improvement of different types of models in spatial econometrics. To apply these models to management practices the presented review could be supplemented with new criteria for classification of knowledge production functions and other theories about the effect of science on the economic growth.

This paper focuses on the question of whether or not a reduction of the knowledge barrier is good for welfare. Based on a dynamic monopoly setting with simultaneous investment decisions in process as well as in product Research & Development (R&D), we show that a reduction of the knowledge barrier has ambiguous welfare consequences: due to a lower knowledge barrier, product quality and welfare increase in the short-run. However, this may not necessarily be the case in the long-run. One reason is that a positive long-lasting knowledge barrier shock triggers the monopolist sub-optimally to reduce its product R&D investments today and in the future at the cost of future product quality. This in turn may reduce welfare. Accordingly, to realize the first-best level of product quality, the long-run optimal R&D subsidy rate for product innovations increases with a reduction of the knowledge barrier. [ABSTRACT FROM AUTHOR]

The effects of the concentration of human capital on wages and productivity have been widely studied, but despite their heterogeneity, little attention has been paid to its effects on the wage gap. This paper assesses the impacts of human capital externalities on wages and on the US wage gap. The main results suggest a positive association between the share of high-educated workers and the wage gap between high- and low-educated workers. Moreover, the effect associated with the concentration of high-educated workers is entirely captured by changes in their wages, as wages of low- and medium-educated workers are statistically unaffected. [ABSTRACT FROM AUTHOR]

This work applies a new approach to measure knowledge flows. Assuming that citation linkages between articles imply a flow of knowledge from the cited to the citing authors, we investigate the geographic flows of scientific knowledge produced in Italy across its regions, at both overall and field level. Furthermore, we measure the the specialization indexes for outflows and inflows of knowledge by a given region. Findings show that larger regions in terms of research output are more likely net exporters of new knowledge. At the same time, we register a positive correlation between the share of intraregional flows and the size of overall scientific output of a region. [ABSTRACT FROM AUTHOR]

This paper investigates the role of the regional context with regard to the influence of human capital and knowledge spillovers on SMEs' financial soundness. Our empirical setting is based on a multilevel analysis of panel data, which allows superior treatment of hierarchical data. The analysis is applied to SMEs belonging to the manufacturing sector and operating in four European countries over the period 2010–2015. We find that a combination of individual and regional‐level characteristics explains firm soundness better than individual features alone. Furthermore, we find that a high local educational level and knowledge spillovers improve firm soundness and that their effects vary according to the regional level of knowledge. These results are confirmed by several robustness tests. [ABSTRACT FROM AUTHOR]

Research Summary: We study how internal agglomeration—geographic clustering of business establishments owned by the same parent company—influences establishment productivity. Using Census microdata on the population of U.S. hotels from 1987‐2007, we find that doubling the intensity of internal agglomeration is associated with a productivity increase of about 2% in pre‐existing establishments. We consider several mechanisms that may be driving the productivity effect and find evidence consistent with the idea that an economically meaningful component of the productivity effect is due to knowledge transfer between internally agglomerated establishments. We replicate our main findings with Census microdata on the full population of U.S. restaurants from 1987‐2007, suggesting that the internal agglomeration effects we document may generalize broadly to other industries with multi‐unit firms. Managerial Summary: Internal agglomeration is the geographic clustering of business establishments owned by the same parent company. This paper uses detailed Census data on hotels and restaurants to show how internal agglomeration influences performance. Interestingly, knowledge sharing between owned establishments in the same metropolitan area appears to be a key driver of the internal agglomeration effect. [ABSTRACT FROM AUTHOR]

The study explores the key contributory factors in the success of immigrant entrepreneurs in disseminating technical knowledge in host economies. Based on a study of the Lyon Barcelona textile printing firm in Premià de Mar, we show how the introduction of screen printing in 1933 eventually stimulated the creation of a cluster specialised in the manufacture of printing moulds. The knowhow provided by the new technique was transferred from the factory itself and disseminated to new small businesses that were set up in and around the town of Premià. Thanks to the vision of an immigrant entrepreneur, who saw the potential of the new business inside the pre-existing industrial framework in Catalonia, and his close collaboration with local managers, this cross-border business initiative had a decisive impact on the host economy. [ABSTRACT FROM AUTHOR]

The present article models the critical factors for a successful and evolutionarily stable National System of Innovation. We simulate a model, against the background of increasingly complex technologies, in a national process of agents' interactions with social-dilemma characteristics. In particular, the articleinvestigates the emergence of a trilateral collaborative innovation alliance among 'enterprise', 'university' and 'government'. We apply a tripartite evolutionary game with a replication process and explore the role and options of the public policy agent to support collaboration on innovation. We find that some policy mix, in particular, a combination of (1) public rewards for cooperation, (2) public punishment for non-cooperation and (3) settings of public cost controls and tax income from innovation, can promote broad and sustainable innovation alliances. For instance, threats of strong punishment, even with low public rewards for cooperation, may promote the formation of a collaborative innovation alliance. We run some sensitivity analyses of the results through parametric variation of two critical factors of the model, knowledge spillover and output elasticity of knowledge input. We find some qualifications for the velocity of the process. [ABSTRACT FROM AUTHOR]

For some time now, the research focusing on Knowledge Intensive Business Services (KIBS) has been very active. Observing that knowledge as a production factor is only becoming more and more pronounced, this focus is well-grounded. It is therefore important to examine how these knowledge-hubs gain and propagate their knowledge. We hypothesize that KIBS (as many other sectors) benefit from intra-industry knowledge spillovers facilitated by geographical concentration. Our focus is the innovative capacity of KIBS, which we measure through trademarks registered by KIBS firms. While there may be several mechanisms facilitating knowledge spillovers, we can identify local intra-sectoral labor mobility as one. Accessibility measures are used to assess the geographical attenuation of the spillover effects. Results show that the distance decay of spillovers is fast. Only local concentrations of KIBS seem to be of importance. Over longer distances, we instead observe negative consequences for trademarking, indicating possible spatial competition effects. [ABSTRACT FROM AUTHOR]

This paper explores current trends in knowledge spillover research using scientometric analysis of all papers published in journals indexed in the Web of Science. No chronological filter was applied. The search yielded 1568 articles. The bibliometric study presented herein was based on co-citations analysis. Given that this paper deals with a complex research area, multidimensional scaling was used to map connections between articles that present different approaches. Hierarchical cluster analysis was then applied to group related articles into sets. Finally, principal component analysis with Varimax rotation was applied to obtain further insight into existing knowledge spillover research. This process showed which articles share common elements and which articles have the largest weights for each of the previous factors. The knowledge spillover literature focuses on five main approaches: (i) knowledge spillover location; (ii) knowledge spillover agglomeration; (iii) knowledge spillover institutional approach; (iv) knowledge spillover demography; and (v) knowledge spillovers of entrepreneurship. This is the first comprehensive scientometric study of knowledge spillover research to describe the state of the art and provide suggestions for the future research agenda for this field. [ABSTRACT FROM AUTHOR]

This paper analyzes the historical factors that shape current levels and regional differences in new firm formation in innovative industries. Drawing on the knowledge spillover theory of entrepreneurship, we propose and test the idea that regional knowledge and creativity affect entrepreneurial activity in the long term. We investigate this in Italy using data at the NUTS-3 geographical level, which goes back as far as 1100 on some items. Our results show that the historical knowledge base, measured as the presence of public universities, is strongly related to the current level of innovative start-ups. There is also a positive relationship between past creativity, measured by the presence of scientists and inventors in the area, and current intensity of new firm formation. Lastly, these long-term effects are complementary, because provinces with both a stronger knowledge base and higher levels of creativity have more current innovative start-ups. These findings suggest that a regional entrepreneurship culture and a social environment conducive to new firm formation can explain the path-dependency of regional entrepreneurship. [ABSTRACT FROM AUTHOR]

Building on recent developments in the evolutionary economics combined with a more traditional spillovers perspective, we conceptualize regional knowledge environment as consisting of two components, the base and the radical knowledge. Empirically approximating the components with proximity to regional industrial portfolio and patenting intensity, respectively, we explore how a cohort of U.S. computer and electronic product manufacturing companies with different absorptive capacity levels were able to benefit from different types of knowledge available regionally. The results suggest reinforcing dynamics between proximity to metropolitan industry mix and metropolitan patenting intensity in promoting survival of non-patenting companies. Establishments that patent, on the other hand, are mostly insensitive to these two factors. [ABSTRACT FROM AUTHOR]

A large literature has used patent data to measure knowledge spillovers across inventions but few papers have explicitly measured the impact of the collaboration networks formed by inventors on the quality of invention. This paper develops a method to measure the impact of collaboration networks of inventors on invention quality. We apply this methodology to the information and communication technology (ICT) and information security sectors in Israel and find that the quality of Israeli inventions are systematically linked to the structure of the collaborative network in these sectors. We are very grateful to the editor Lukasz Grzybowski and an anonymous referee for very helpful comments and suggestions that significantly improved the paper. We thank the Maurice Falk Institute for Economic Research in Israel, Start-Up Nation Central, the U. S. National Science Foundation (SciSIP grants 1360165 and 1360170), and Portugal's Foundation for Science and Technology for financial support of this research. Lee Branstetter's work on this project was supported by the National Science Foundation and we thank Britta Glennon for excellent research assistance. We are also grateful to Tim Bresnahan, Eugene Kandel, Imke Reimers, and seminar/conference participants at the 19th CEPR IO conference, the 10th Paris conference on Digital Economics, Collegio Carlo Alberto, Hebrew University, Stanford University, Tel Aviv University, ad UC-Berkeley and for helpful comments and suggestions. © 2020 by Neil Gandal, Nadav Kunievsky, and Lee Branstetter. All rights reserved. Short sections of text, not to exceed two paragraphs, may be quoted without explicit permission provided that full credit, including the © notice, is given to the source. [ABSTRACT FROM AUTHOR]

In many economic applications of matching, the teams that form compete later in market structures with strategic interactions or with knowledge spillovers. Such post-match competition introduces externalities at the matching stage: a team's payoff depends not only on their members' attributes but also on those of other matched teams. This article develops a large market model of matching with externalities, in which first teams form, and then they compete. We analyse the sorting patterns that ensue under competitive equilibrium as well as their efficiency properties. Our main results show that insights substantially differ from those of the standard model without externalities: there can be multiple competitive equilibria with different sorting patterns; both optimal and competitive equilibrium matching can involve randomization; and competitive equilibrium can be inefficient with a matching that can drastically deviate from the optimal one. We also shed light on the economic relevance of our matching model with externalities. We analyse two economic applications that illustrate how our model can rationalize the trend in within- and between-firm inequality, and also the evolution of markups of sectors where firms have market power. [ABSTRACT FROM AUTHOR]

The papers in this special issue focus on modelling knowledge and innovation spillovers with an emphasis on the context of China. The first paper decomposes the relative importance of economic growth into knowledge spillovers and technical diffusion, using cross-country data on a worldwide scale, as well as provincial data at the regional scale of China. The second paper investigates whether the economic and financial performances of reformed state-owned enterprises are affected by the presence of non-state-owned enterprises from related industries. The final paper examines how the spatial spillovers from inward and outward foreign direct investment affect the innovation activities of domestic firms in China's Shandong province. This special issue contributes to a better understanding of the channels for transferring knowledge and innovation spillovers in China. [ABSTRACT FROM AUTHOR]

This paper evaluates the effectiveness of China's reform of state-owned enterprises (SOEs) by exploring if reformed SOEs have genuinely changed their identity and fitted in. Using a firm-level data set, we show that reformed SOEs have learned more from non-SOEs about how to promote economic performance. Empirical results also confirm that the effectiveness of the SOE reform is contingent on regional institutional contexts. Finally, this research contributes to the existing literature by bringing firm's financial performance to the forefront, and pointing out that knowledge spillovers derived from non-SOEs have impacts on the financial performance of reformed SOEs. [ABSTRACT FROM AUTHOR]

Based on the need for companies to remain competitive and dynamic in a constantly changing environment, this systematic review on knowledge spillovers and strategic entrepreneurship seeks to identify what type of research, scales, variables and databases have been used in the academia and that seek to increase knowledge on this theme. Thus, this study covers 153 articles published in the last 19 years (1999–2017), in the Social Sciences Citation Index (SSCI) via Web of Knowledge. The articles were systematized and classified by different types of research and themes: i) theoretical approaches (history, concepts, definitions, processes and gaps; economic growth; regions and geography); ii) qualitative approaches (endogenous growth; networks and cooperation; strategic entrepreneurship; agglomeration, investment and performance); and iii) quantitative approaches (human capital; economic and endogenous growth; innovation and patents; cooperation; regions and geography; investment and performance). [ABSTRACT FROM AUTHOR]

This paper investigates the impact of management training programs on garment clusters in Vietnam and Tanzania. The study found that in the medium run firms showed improvement once they had identified useful practices and adapted them to their operations. Although it takes a few years to experience a significant impact on incomes, management training can increase not just management scores but also incomes or value added. [ABSTRACT FROM AUTHOR]

Labor flows are important channels for knowledge spillovers between firms; yet competing arguments provide different explanations for this mechanism. Firstly, productivity differences between the source and recipient firms have been found to drive these spillovers; secondly, previous evidence suggests that labor flows from multinational enterprises provide productivity gains for firms; and thirdly, industry relatedness across firms have been found important, because industry-specific skills have an impact on organizational learning and production. In this paper, we aim to disentangle the effects of productivity gap, multinational experience and industry relatedness in a common framework. Hungarian employee–employer linked panel data from 2003–2011 imply that the incoming labor from more productive firms is associated with increasing future productivity. The impact of multinational spillovers cannot be confirmed, once productivity differences between the firms are taken into account. Furthermore, we find that flows from related industries outperform the effect of flows from same and unrelated industries even if we control for the effects of productivity gap and multinational spillovers. [ABSTRACT FROM AUTHOR]

This paper explores the relationship between a firm's knowledge sourcing strategy and green innovation. The data are taken from Organisation for Economic Cooperation and Development REGPAT database, February 2016, relative to the European Patent Office firms' patent applications published up to December 2015. The study contributes to the literature by focusing on the moderating role of integration between different activities related to environmental performance on the relationship between knowledge sources and green innovations. The results from 240 firms indicate a shift in the focus from internal knowledge to external knowledge when developing environmental innovations. Government policies promoting more knowledge complementarity and coordination between environmental fields will help to promote more knowledge transfer, allowing more sustainable development. [ABSTRACT FROM AUTHOR]

The paper examines the effects of intra- and inter-regional knowledge spillovers on innovative activities in German states using the augmented Griliches-Jaffe knowledge production function. The “Harris market potential” type index is calculated to proxy for inter-regional knowledge transfers of two types: industrial knowledge transfers generated from the business enterprise sector and academic spillovers generated from universities across all German states. The model also includes the concentration of high-tech enterprises, in order to capture the agglomeration effect in the local economy. The estimation results reveal that not only do local private and university research efforts have a positive and significant effect on local innovative activities, but there are also important interregional knowledge spillovers across the German regions.

This article is a first chapter of an analytical review of existing theoretical models of a relationship between economic growth / GRP and indicators of scientific development and innovation activities, as well as empirical approaches to testing this relationship. Aim of the paper is a systematization of existing approaches to modeling of economic growth geared by science and innovations. The novelty of the current review lies in the authors’ criteria of interconnectedness of theoretical and empirical studies in the systematization of a wide range of publications presented in a final table-scheme. In the first part of the article the authors discuss evolution of theoretical approaches, while the second chapter presents a time gap between theories and their empirical verification caused by the level of development of quantitative instruments such as econometric models. The results of this study can be used by researchers and graduate students for familiarization with current scientific approaches that manifest progress from theory to empirical verification of a relationship «economic growth-innovations» for improvement of different types of models in spatial econometrics. To apply these models to management practices the presented review could be supplemented with new criteria for classification of knowledge production functions and other theories about effect of science on economic growth.