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Local knowledge spillovers and the effects of related and unrelated variety on the novelty of innovation

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  • Suelene Mascarini
  • Renato Garcia
  • Francesco Quatraro

Abstract

Knowledge spillovers have been identified as a factor affecting the unequal distribution of innovation in space. In this paper we aim to understand how territorial factors shape the novelty degree of innovations. Thus, we perform an empirical analysis that relates territorial factors to innovative performance at the firm level. Our results show that local knowledge spillovers from research and development expenditures are positively associated with upper-level innovation, while local knowledge spillovers from total innovation expenditures are not related to the degree of novelty of innovation. Furthermore, the impacts on innovation are also moderated by related and unrelated varieties since firms in regions with higher regional-related variety are less likely to generate upper-level innovation.

Suggested Citation

  • Suelene Mascarini & Renato Garcia & Francesco Quatraro, 2023. "Local knowledge spillovers and the effects of related and unrelated variety on the novelty of innovation," Regional Studies, Taylor & Francis Journals, vol. 57(9), pages 1666-1680, September.
    • Handle: RePEc:taf:regstd:v:57:y:2023:i:9:p:1666-1680
    DOI: 10.1080/00343404.2022.2147917
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    Cited by:

    1. Becker, Bettina & Roper, Stephen & Vanino, Enrico, 2023. "Assessing innovation spillovers from publicly funded R&D and innovation support: Evidence from the UK," Technovation, Elsevier, vol. 128(C).
    2. Gustavo Barboza, 2024. "Missing links of knowledge spillover effects on firm intensity and regional development," Small Business Economics, Springer, vol. 63(4), pages 1721-1745, December.
    3. Burhan Can Karahasan, 2023. "Spatial distribution of new firms and firm‐level innovation: Evidence from Turkey," Regional Science Policy & Practice, Wiley Blackwell, vol. 15(9), pages 2156-2181, December.
    4. Suelene Mascarini & Renato Garcia & Emerson Gomes dos Santos & Ariana Ribeiro Costa & Veneziano Araujo, 2023. "Regional heterogeneity and the effects of the related and unrelated varieties on innovation," Regional Science Policy & Practice, Wiley Blackwell, vol. 15(9), pages 2026-2045, December.

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