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The Geography of Intrametropolitan KIBS Innovation: Distinguishing Agglomeration Economies from Innovation Dynamics

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  • Richard Shearmur

Abstract

Much has been written about innovation, territory, knowledge spill-overs and agglomeration economies, but neighbourhood-level processes of innovation have rarely been studied in a systematic fashion. This article explores whether knowledge-intensive business services (KIBS) are systematically more innovative when they are located in employment clusters. In doing so, it distinguishes between the simple co-location of innovative firms with other activities, and possible dynamic effects (identified by controlling for firm-level innovation factors): most identified geographical patterns are resilient to controls, but the geography of innovation is not straightforward. In Montreal, whilst certain types of innovation occur in employment clusters, others display no spatial patterns. Furthermore, the most intensive KIBS innovators tend to locate away from high-employment and from high-KIBS zones. KIBS innovation does not behave as expected if innovation dynamics were localised in a fashion similar to agglomeration economies: it is therefore important to distinguish between the two.

Suggested Citation

  • Richard Shearmur, 2012. "The Geography of Intrametropolitan KIBS Innovation: Distinguishing Agglomeration Economies from Innovation Dynamics," Urban Studies, Urban Studies Journal Limited, vol. 49(11), pages 2331-2356, November.
  • Handle: RePEc:sae:urbstu:v:49:y:2012:i:11:p:2331-2356
    DOI: 10.1177/0042098011431281
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    Cited by:

    1. Lingyue Li & Xiaohu Zhang, 2020. "Spatial Evolution and Critical Factors of Urban Innovation: Evidence from Shanghai, China," Sustainability, MDPI, vol. 12(3), pages 1-19, January.
    2. Christine Benna Skytt-Larsen & Lars Winther, 2015. "Knowledge Production, Urban Locations and the Importance of Local Networks," European Planning Studies, Taylor & Francis Journals, vol. 23(9), pages 1895-1917, September.
    3. Herstad, Sverre J., 2015. "Imitate, or innovate and collaborate? On innovation strategy choices in the urban economy," Papers in Innovation Studies 2015/8, Lund University, CIRCLE - Centre for Innovation Research.
    4. Herstad, Sverre J. & Sandven, Tore & Ebersberger, Bernd, 2015. "Recruitment, knowledge integration and modes of innovation," Research Policy, Elsevier, vol. 44(1), pages 138-153.
    5. Sylvie Charlot & Riccardo Crescenzi & Antonio Musolesi, 2014. "Augmented and Unconstrained: revisiting the Regional Knowledge Production Function," SEEDS Working Papers 2414, SEEDS, Sustainability Environmental Economics and Dynamics Studies, revised Aug 2014.

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