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External and Internal Knowledge in the Knowledge Generation Function

Cristiano Antonelli () and Alessandra Colombelli

Industry and Innovation, 2015, vol. 22, issue 4, 273-298

Abstract: This paper explores the role of internal and external knowledge in the generation of new technological knowledge. It implements the notion of recombinant knowledge generation function with the appreciation of: (i) the complementary--as opposed to supplementary--role of external knowledge and (ii) the role of the size and composition of the internal stock of knowledge. The empirical section is based upon a panel of companies listed on the main European financial markets for the period 1995-2006. The econometric analysis is based on simultaneous equations. The results confirm that R&D efforts and external knowledge are indispensable inputs into the generation of new technological knowledge.

Date: 2015
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Handle: RePEc:taf:indinn:v:22:y:2015:i:4:p:273-298