Related variety and economic development:a literature review

Jeroen Content and Koen Frenken

No 1621, Papers in Evolutionary Economic Geography (PEEG) from Utrecht University, Department of Human Geography and Spatial Planning, Group Economic Geography

Abstract: Since the introduction of the related variety in 2007, a number of studies have been undertaken to analyze the effect of related variety on economic development. Our review of 21 studies makes clear that most studies find support for the initial hypothesis that related variety supports employment growth, though some studies suggest that the growth effects of related variety may be specific to knowledge-intensive sectors only. From the review, we list a number of further research questions regarding: methodology, the role of unrelated variety, different forms of relatedness, and the effect of related variety on knowledge production and entrepreneurship.

Date: 2016-08, Revised 2016-08
New Economics Papers: this item is included in nep-ent, nep-his and nep-ino
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Journal Article: Related variety and economic development: a literature review (2016)
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