Public cluster policy and neighboring regions: beggar-thy-neighbor?
Erik E. Lehmann and
Economics of Innovation and New Technology, 2018, vol. 27, issue 5-6, 420-437
Research on public cluster policy has largely taken a perspective evaluating firm performance or local cluster performance, almost neglecting spillover effects on neighboring regions. This study evaluates the effects and performance of public cluster policy in three ways: firstly, by evaluating public cluster policy per se; secondly, whether positive effects are shaped as a consequence of the â€˜picking-the-winnerâ€™ competition or by the subsidizing effects afterwards; and finally, whether effects of public cluster policy spill over to neighboring regions or are mainly bounded locally. Based on a unique panel dataset encompassing all German labor market regions and covering a 15-year period, we apply difference-in-difference estimations and quantile regression techniques to identify and separate the different effects. Our results confirm positive cluster effects of the chosen industries, but also show that positive externalities are spatially limited. Policy-makers should be aware of the local boundedness of public cluster initiatives and possible adverse â€˜beggar-thy-neighborâ€™ effects.
References: Add references at CitEc
Citations: View citations in EconPapers (1) Track citations by RSS feed
Downloads: (external link)
Access to full text is restricted to subscribers.
This item may be available elsewhere in EconPapers: Search for items with the same title.
Export reference: BibTeX
RIS (EndNote, ProCite, RefMan)
Persistent link: https://EconPapers.repec.org/RePEc:taf:ecinnt:v:27:y:2018:i:5-6:p:420-437
Ordering information: This journal article can be ordered from
Access Statistics for this article
Economics of Innovation and New Technology is currently edited by Professor Cristiano Antonelli
More articles in Economics of Innovation and New Technology from Taylor & Francis Journals
Bibliographic data for series maintained by Chris Longhurst ().