Another cluster premium: Innovation subsidies and R&D collaboration networks

Tom Broekel (), Dirk Fornahl () and Andrea Morrison

No 1514, Papers in Evolutionary Economic Geography (PEEG) from Utrecht University, Department of Human Geography and Spatial Planning, Group Economic Geography

Abstract: This paper investigates the allocation of R&D subsidies with a focus on the granting success of firms located in clusters. On this basis it is evaluated whether firms in these clusters are differently embedded into networks of subsidized R&D collaboration than firms located elsewhere. The theoretical arguments are empirically tested using the example of the German biotechnology firms’ participation in the 6th EU-Framework Programmes and national R&D subsidization schemes in the early 2000s. We show that clusters grant firms another premium to their location, as they are more likely to receive funds from the EU-Framework Programmes and hold more favourable positions in national knowledge networks based on subsidies for joint R&D.

Keywords: Innovation policy; R&D subsidy; collaboration networks; embeddedness; technology cluster (search for similar items in EconPapers)
JEL-codes: D85 O33 R11 R58 (search for similar items in EconPapers)
Date: 2015-05, Revised 2015-05
New Economics Papers: this item is included in nep-com, nep-cse, nep-eur, nep-geo, nep-ino, nep-net, nep-ppm, nep-sbm, nep-tid and nep-ure
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Citations: View citations in EconPapers (30)

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Journal Article: Another cluster premium: Innovation subsidies and R&D collaboration networks (2015)
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