Knowledge transfer in time of crisis: evidence from the Trentino region

The last decade has shown a shift of focus of the literature on networks to a more dynamic perspective, and towards the study of mechanisms that drive network evolution inside regions. The strategic behaviour of network agents and the evolution of networks may be affected by the occurrence of macroeconomic events external to the region. This paper assesses the impact of different factors on the trust created between agents through repetition of previous collaborations before and after the global economic recession of 2008. Main findings show that actors in periods of crisis prefer collaboration with trustful actors with whom they cooperated in the past, than to actors with whom they share common characteristics (proximities). In high-risk periods, the knowledge network is more inert, while in low risk periods, actors prefer to expand the knowledge network of the region, investing in global pipelines and importing knowledge from distant regions.