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Between spilling over and boiling down: network-mediated spillovers, local knowledge base and productivity in European regions

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  • Nicola Cortinovis
  • Frank van Oort

Abstract

Productivity across European regions is related to three types of networks that mediate R&D-related knowledge spillovers: trade, co-patenting and geographical proximity. Both our panel and instrumental variable estimations for European regions suggest that network relations are crucial sources of R&D spillovers, but with potentially different features. Both import and co-patenting relations affect local productivity directly, but spillovers from innovation-leading regions are effective only when they are import-mediated and when recipient regions have a solid knowledge base. From a policy perspective, this may frustrate recent European policy initiatives, such as Smart Specialization, which are designed to benefit all regions in Europe.

Suggested Citation

  • Nicola Cortinovis & Frank van Oort, 2019. "Between spilling over and boiling down: network-mediated spillovers, local knowledge base and productivity in European regions," Journal of Economic Geography, Oxford University Press, vol. 19(6), pages 1233-1260.
  • Handle: RePEc:oup:jecgeo:v:19:y:2019:i:6:p:1233-1260.
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    File URL: http://hdl.handle.net/10.1093/jeg/lby058
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    Citations

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    Cited by:

    1. Nicola Cortinovis & Riccardo Crescenzi & Frank van Oort, 2020. "Multinational enterprises, industrial relatedness and employment in European regions [Innovation: mapping the winds of creative destruction]," Journal of Economic Geography, Oxford University Press, vol. 20(5), pages 1165-1205.
    2. Marta Aloi & Joanna Poyago-Theotoky & Frédéric Tournemaine, 2022. "The Geography of Knowledge and R&D-led Growth [Real effects ofacademic research: comment]," Journal of Economic Geography, Oxford University Press, vol. 22(6), pages 1149-1190.
    3. Qin Ye, 2021. "The impact of knowledge depth and breadth on the geography of analytical industry technological networks: Evidence from China’s biotechnology industry," Growth and Change, Wiley Blackwell, vol. 52(4), pages 2238-2255, December.
    4. Tang, Chenghui & Guan, Mingming & Dou, Jianmin, 2021. "Understanding the impact of High Speed Railway on urban innovation performance from the perspective of agglomeration externalities and network externalities," Technology in Society, Elsevier, vol. 67(C).
    5. Obschonka, Martin & Tavassoli, Sam & Rentfrow, P. Jason & Potter, Jeff & Gosling, Samuel D., 2023. "Innovation and inter-city knowledge spillovers: Social, geographical, and technological connectedness and psychological openness," Research Policy, Elsevier, vol. 52(8).
    6. Emanuela Marrocu & Raffaele Paci & Stefano Usai, 2022. "Direct and indirect effects of universities on European regional productivity," Papers in Regional Science, Wiley Blackwell, vol. 101(5), pages 1105-1133, October.
    7. Rodolfo Campos & Jacopo Timini, 2019. "An estimation of the effects of Brexit on trade and migration," Occasional Papers 1912, Banco de España.
    8. Na Li & Haiyan Lu & Yongxin Lv, 2022. "High-Speed Railway Facilities, Intercity Accessibility and Urban Innovation Level—Evidence from Cities in Three Chinese Megacity Regions," Land, MDPI, vol. 11(8), pages 1-16, July.
    9. Weidenfeld, Adi & Makkonen, Teemu & Clifton, Nick, 2021. "From interregional knowledge networks to systems," Technological Forecasting and Social Change, Elsevier, vol. 171(C).
    10. Roberta Capello & Andrea Caragliu, 2021. "Merging macroeconomic and territorial determinants of regional growth: the MASST4 model," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 66(1), pages 19-56, February.
    11. Natália Barbosa & Ana Paula Faria, 2023. "Science and productivity in European Firms: How do regional innovation modes matter?," GEE Papers 0175, Gabinete de Estratégia e Estudos, Ministério da Economia, revised Jul 2023.
    12. Nicola Cortinovis & Riccardo Crescenzi & Frank van Oort, 0. "Multinational enterprises, industrial relatedness and employment in European regions," Journal of Economic Geography, Oxford University Press, vol. 20(5), pages 1165-1205.

    More about this item

    Keywords

    Productivity; economic networks; trade; knowledge; regions;
    All these keywords.

    JEL classification:

    • R11 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Regional Economic Activity: Growth, Development, Environmental Issues, and Changes
    • O32 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Management of Technological Innovation and R&D

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