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Disentangling link formation and dissolution in spatial networks: An application of a two-mode STERGM to a project-based R&D network in the German Biotechnology industry

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  • Tom Broekel
  • Marcel Bednarz

Abstract

The analysis of spatial networks' evolution has predominantly concentrated on the formation process of links. However, the evolution of networks is similarly shaped by the dissolution of links, which has thus far received considerably less attention. The paper presents separable temporal exponential random graph models (STERGMs) as a promising method in this context, which allows for the disentangling of both processes. Moreover, the applicability of the method to two-mode network data is demonstrated. We illustrate the use of these models for the R&D collaboration network of the German biotechnology industry as well as for testing for the relevance of different forms of proximities for its evolution. The results reveal proximities varying in their relative importance for link formation and link dissolution.

Suggested Citation

  • Tom Broekel & Marcel Bednarz, 2018. "Disentangling link formation and dissolution in spatial networks: An application of a two-mode STERGM to a project-based R&D network in the German Biotechnology industry," Papers in Evolutionary Economic Geography (PEEG) 1837, Utrecht University, Department of Human Geography and Spatial Planning, Group Economic Geography, revised Oct 2018.
    • Handle: RePEc:egu:wpaper:1837
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    2. Ana M. Guerra & Felipe Montes & Andrés F. Useche & Ana María Jaramillo & Silvia A. González & Jose D. Meisel & Catalina Obando & Valentina Cardozo & Ruth F. Hunter & Olga L. Sarmiento, 2020. "Effects of a Physical Activity Program Potentiated with ICTs on the Formation and Dissolution of Friendship Networks of Children in a Middle-Income Country," IJERPH, MDPI, vol. 17(16), pages 1-21, August.
    3. Youyi Bi & Yunjian Qiu & Zhenghui Sha & Mingxian Wang & Yan Fu & Noshir Contractor & Wei Chen, 2021. "Modeling Multi-Year Customers’ Considerations and Choices in China’s Auto Market Using Two-Stage Bipartite Network Analysis," Networks and Spatial Economics, Springer, vol. 21(2), pages 365-385, June.
    4. Luqi Li & Ben Derudder & Wei Shen & Xiang Kong, 2022. "Exploring the dynamics of the disaggregated intercity corporate network in the Yangtze River Delta, China: a relational event approach," Journal of Geographical Systems, Springer, vol. 24(1), pages 115-140, January.
    5. Ben Derudder & Zachary Neal, 2018. "Uncovering Links Between Urban Studies and Network Science," Networks and Spatial Economics, Springer, vol. 18(3), pages 441-446, September.
    6. Chong, Zhaohui & Wei, Xiaolin, 2023. "Exploring the spatial linkage network of peer-to-peer lending in China," Physica A: Statistical Mechanics and its Applications, Elsevier, vol. 630(C).
    7. Kei, Yik Lun & Chen, Yanzhen & Madrid Padilla, Oscar Hernan, 2023. "A partially separable model for dynamic valued networks," Computational Statistics & Data Analysis, Elsevier, vol. 187(C).
    8. Miaoxi Zhao & Ben Derudder & Pingcheng Zhang & Peiqian Zhong, 2020. "An Expanded Bipartite Network Projection Algorithm for Measuring Cities’ Connections in Service Firm Networks," Networks and Spatial Economics, Springer, vol. 20(2), pages 479-498, June.
    9. Patrick Wolf & Tobias Buchmann, 2021. "Analyzing development patterns in research networks and technology," Review of Evolutionary Political Economy, Springer, vol. 2(1), pages 55-81, April.
    10. Mariane Santos Françoso¹ & Nicholas S. Vonortas, 2023. "Gatekeepers in regional innovation networks: Evidence from an emerging economy," The Journal of Technology Transfer, Springer, vol. 48(3), pages 821-841, June.
    11. Losacker, Sebastian, 2022. "‘License to green’: Regional patent licensing networks and green technology diffusion in China," Technological Forecasting and Social Change, Elsevier, vol. 175(C).
    12. Chen Zhang & Xinghua Dang & Tao Peng & Chaokai Xue, 2019. "Dynamic Evolution of Venture Capital Network in Clean Energy Industries Based on STERGM," Sustainability, MDPI, vol. 11(22), pages 1-25, November.
    13. Cornelius Fritz & Michael Lebacher & Göran Kauermann, 2020. "Tempus volat, hora fugit: A survey of tie‐oriented dynamic network models in discrete and continuous time," Statistica Neerlandica, Netherlands Society for Statistics and Operations Research, vol. 74(3), pages 275-299, August.
    14. Xiaoyi Shi & Xiaoxia Huang & Huifang Liu, 2022. "Research on the Structural Features and Influence Mechanism of the Low-Carbon Technology Cooperation Network Based on Temporal Exponential Random Graph Model," Sustainability, MDPI, vol. 14(19), pages 1-24, September.
    15. Mariia Shkolnykova, 2021. "Who shapes plant biotechnology in Germany? Joint analysis of the evolution of co-authors’ and co-inventors’ networks," Review of Evolutionary Political Economy, Springer, vol. 2(1), pages 27-54, April.

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    More about this item

    Keywords

    STERGM; inter-organizational network structure; bipartite; proximity; dissolution; R&D subsidies;
    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
    • O31 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Innovation and Invention: Processes and Incentives
    • O38 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Government Policy
    • D83 - Microeconomics - - Information, Knowledge, and Uncertainty - - - Search; Learning; Information and Knowledge; Communication; Belief; Unawareness
    • D85 - Microeconomics - - Information, Knowledge, and Uncertainty - - - Network Formation

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