Regional Dynamics of Innovation - Investigating the Co-Evolution of Patents, R&D, and Employment

Matthias Buerger (matthias.buerger@uni-jena.de), Tom Broekel (tom.brokel@uis.no) and Alex Coad (alex.coad@gmail.com)

No 908, Papers in Evolutionary Economic Geography (PEEG) from Utrecht University, Department of Human Geography and Spatial Planning, Group Economic Geography

Abstract: We investigate the lead-lag relationship between growth of patent applications, growth of R&D, and growth of total sectoral employment for 270 German labour market regions over the period 1999-2005. Our unique panel dataset includes information on four two-digit industries, namely Chemistry, Transport equipment, Medical & Optical Equipment as well as Electrics & Electronics. The results obtained from a vector autoregression model show that an increased innovative activity is associated with subsequent growth of employment in the Medical & Optical Equipment industry as well as in the Electrics & Electronics sector. With respect to the latter growth of patent applications is also associated with subsequent growth of R&D employees indicating either a 'success-breeds-success' story or benefits due to agglomeration economies at the level of the region. However we do not find those effects for the other industries due to their idiosyncratic innovation and patenting behaviour.

Keywords: innovation; regional dynamics; r&d growth; employment growth; patent growth (search for similar items in EconPapers)
JEL-codes: O18 R11 (search for similar items in EconPapers)
Pages: 28 pages
Date: 2009-06, Revised 2009-06
New Economics Papers: this item is included in nep-cse, nep-geo, nep-ino, nep-ipr, nep-pr~, nep-knm and nep-mic
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Citations: View citations in EconPapers (2)

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http://econ.geo.uu.nl/peeg/peeg0908.pdf Version June 2009 (application/pdf)

Related works:
Working Paper: Regional Dynamics of Innovation Investigating the Co-Evolution of Patents, R&D, and Employment (2009)
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