Theoretical Perspectives on Localised Knowledge Spillovers and Agglomeration

Arbeitspapier

There is substantial empirical evidence that innovation is geographically concentrated. Unlike what is generally assumed, however, it is not clear that localised knowledge spillovers provide a theoretically valid explanation for this. Studying spillovers of cost-reducing technology between Cournot oligopolists we show that 1) localised knowledge spillovers of any level do encourage agglomeration, but 2) whether this leads to higher levels of effective R&D depends on the type and level of knowledge spillovers, the number of firms, and the industry's R&D efficiency.

Object Details

• Language: Englisch

References and Relationships

• Bibliographic citation: Series: Cardiff Economics Working Papers ; No. E2014/10

Classification and Topics

• Classification: Wirtschaft ; Technological Change: Choices and Consequences; Diffusion Processes ; Other Spatial Production and Pricing Analysis ; Oligopoly and Other Imperfect Markets
• Subject: knowledge spillovers ; agglomeration economies ; innovation ; location

Contributors, Places and Time

• Event: Geistige Schöpfung
• (who): Leppälä, Samuli
• Event: Veröffentlichung
• (who): Cardiff University, Cardiff Business School
• (where): Cardiff
• (when): 2014

Further information

• Handle: http://hdl.handle.net/10419/109061
• Last update: 10.03.2025, 11:42 AM CET