EconPapers    
Economics at your fingertips  
 

The Diffusion of Informal Knowledge and Innovation Performance: A sectoral approach

Abraham Garcia-Torres and Hugo Hollanders ()

No 13, MERIT Working Papers from United Nations University - Maastricht Economic and Social Research Institute on Innovation and Technology (MERIT)

Abstract: This paper tries to quantify the effect of diffusion of informal knowledge on the innovative performance of European firms using data derived from the 3rd Community Innovation Survey. When firms are asked whether or not they have introduced new products or processes, they were also asked to which degree such innovations were developed in-house. These degrees were captured by the CIS variables InPdtW and InPcsW. These variables ranged from 1 (Mainly done by the firm) to 3 (Mainly done by other enterprises). The focus of this paper is to investigate the impact of diffusion of informal knowledge. We combine the previous variables with another variable which reflects firms that were not doing any formal collaboration with other institutions. If an innovative firm has no formal collaboration arrangements and the innovation has not been done mainly by the firm, then diffusion of informal knowledge is considered to be the main driver of the innovation. The idea is that informal channels are accessible to all firms. This paper tries to quantify the impact of such flows of knowledge on firms' innovation performance. To do this, a two step procedure is followed: -In a first step, a latent variable for diffusion of informal knowledge is defined and estimated based on firms' characteristics. -In a second step, the latent diffusion variable is introduced as a regressor in a probit/tobit model.

Keywords: Knowledge flows; innovation; dynamic equations; sectoral innovation; CIS (search for similar items in EconPapers)
JEL-codes: C34 O32 O31 (search for similar items in EconPapers)
Date: 2009
References: Add references at CitEc
Citations: View citations in EconPapers (4) Track citations by RSS feed

Downloads: (external link)
https://www.merit.unu.edu/publications/wppdf/2009/wp2009-013.pdf (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:unm:unumer:2009013

Access Statistics for this paper

More papers in MERIT Working Papers from United Nations University - Maastricht Economic and Social Research Institute on Innovation and Technology (MERIT) Contact information at EDIRC.
Bibliographic data for series maintained by Ad Notten ().

 
Page updated 2020-04-03
Handle: RePEc:unm:unumer:2009013