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Are urban agglomerations a better breeding place for product innovation? ˜ product innovation?

Erik Brouwer, Hana Budil-Nadvornikova and Alfred Kleinknecht
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Erik Brouwer: Vrije Universiteit Amsterdam, Faculteit der Economische Wetenschappen en Econometrie (Free University Amsterdam, Faculty of Economics Sciences, Business Administration and Economitrics

No 39, Serie Research Memoranda from VU University Amsterdam, Faculty of Economics, Business Administration and Econometrics

Abstract: Compared to firms in rural regions, firms in urban agglomerations of the Netherlands dedicate a higher share of their R&D to product development. In our Hurdle Count Data estimate of determinants of new product announcements we find that, with a given product-R&D-intensity, firms in central regions have higher probabilities of announcing at least one new product in a journal and they also announce new products in larger numbers. Such support for the urban hierarchy/filter down hypothesis was not found when confining our analysis to standard R&D data.

JEL-codes: O14 R12 (search for similar items in EconPapers)
Date: 1997
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Persistent link: https://EconPapers.repec.org/RePEc:vua:wpaper:1997-39

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