Nothing Special   »   [go: up one dir, main page]
IDEAS home Printed from https://ideas.repec.org/p/ahy/wpaper/wp5.html
   My bibliography  Save this paper

Technological novelty and key enabling technologies: Evidence from European regions

Author

Listed:
  • Sandro Montresor

    (Gran Sasso Science Institute)

  • Gianluca Orsatti

    (Università di Torino)

  • Francesco Quatraro

    (Università di Torino)

Abstract
This paper investigates whether the local endowment of Key Enabling Technologies (KETs) drives the regions’ capacity to create technological novelty. Looking at regional innovations as re-combinations of preexisting knowledge, we propose two indicators of regional technological novelty (absolute and local), based on patents that originally draw on still unexplored prior-art knowledge connections. We argue that KETs have inherent re-combinatorial properties of the regional knowledge base and that their local endowment drives technological novelty. We test for this argument by focusing on a sample of 1,255 NUTS3 EU regions over the period 2000-2014 in an original instrumental variable setting. With some nuances, results confirm our main hypotheses. KETs do drive significantly the introduction of local technological novelty, but this mainly occurs for an absolute kind of novelty. The development, use or eventually external acquisition of KETs is thus an important policy priority for regions willing to compete at the technological frontier.

Suggested Citation

  • Sandro Montresor & Gianluca Orsatti & Francesco Quatraro, 2020. "Technological novelty and key enabling technologies: Evidence from European regions," Discussion Paper series in Regional Science & Economic Geography 2020-05, Gran Sasso Science Institute, Social Sciences, revised Sep 2020.
    • Handle: RePEc:ahy:wpaper:wp5
    as

    Download full text from publisher

    File URL: https://www.gssi.it/images/DPRSEG_2020-05.pdf
    File Function: First version, 2020
    Download Restriction: no
    ---><---

    Other versions of this item:

    References listed on IDEAS

    as
    1. Lars Mewes, 2019. "Scaling of Atypical Knowledge Combinations in American Metropolitan Areas from 1836 to 2010," Economic Geography, Taylor & Francis Journals, vol. 95(4), pages 341-361, August.
    2. Adam Jaffe & Manuel Trajtenberg, 1999. "International Knowledge Flows: Evidence From Patent Citations," Economics of Innovation and New Technology, Taylor & Francis Journals, vol. 8(1-2), pages 105-136.
    3. Bettencourt, Luis M.A. & Lobo, Jose & Strumsky, Deborah, 2007. "Invention in the city: Increasing returns to patenting as a scaling function of metropolitan size," Research Policy, Elsevier, vol. 36(1), pages 107-120, February.
    4. Carolina Castaldi & Koen Frenken & Bart Los, 2015. "Related Variety, Unrelated Variety and Technological Breakthroughs: An analysis of US State-Level Patenting," Regional Studies, Taylor & Francis Journals, vol. 49(5), pages 767-781, May.
    5. Bresnahan, Timothy, 2010. "General Purpose Technologies," Handbook of the Economics of Innovation, in: Bronwyn H. Hall & Nathan Rosenberg (ed.), Handbook of the Economics of Innovation, edition 1, volume 2, chapter 0, pages 761-791, Elsevier.
    6. Colombelli, Alessandra & Krafft, Jackie & Quatraro, Francesco, 2013. "Properties of knowledge base and firm survival: Evidence from a sample of French manufacturing firms," Technological Forecasting and Social Change, Elsevier, vol. 80(8), pages 1469-1483.
    7. Veugelers, Reinhilde & Pezzoni, Michele, 2019. "How fast is this novel technology going to be a hit?," CEPR Discussion Papers 13447, C.E.P.R. Discussion Papers.
    8. Quatraro, Francesco, 2010. "Knowledge coherence, variety and economic growth: Manufacturing evidence from Italian regions," Research Policy, Elsevier, vol. 39(10), pages 1289-1302, December.
    9. Scott Shane, 2001. "Technological Opportunities and New Firm Creation," Management Science, INFORMS, vol. 47(2), pages 205-220, February.
    10. Nemet, Gregory F., 2009. "Demand-pull, technology-push, and government-led incentives for non-incremental technical change," Research Policy, Elsevier, vol. 38(5), pages 700-709, June.
    11. Frank Neffke & Martin Henning & Ron Boschma, 2011. "How Do Regions Diversify over Time? Industry Relatedness and the Development of New Growth Paths in Regions," Economic Geography, Taylor & Francis Journals, vol. 87(3), pages 237-265, July.
    12. Enrico Berkes & Ruben Gaetani, 2021. "The Geography of Unconventional Innovation," The Economic Journal, Royal Economic Society, vol. 131(636), pages 1466-1514.
    13. Olof Ejermo, 2009. "Regional Innovation Measured by Patent Data—Does Quality Matter?," Industry and Innovation, Taylor & Francis Journals, vol. 16(2), pages 141-165.
    14. Verhoeven, Dennis & Bakker, Jurriën & Veugelers, Reinhilde, 2016. "Measuring technological novelty with patent-based indicators," Research Policy, Elsevier, vol. 45(3), pages 707-723.
    15. Koen Frenken & Frank Van Oort & Thijs Verburg, 2007. "Related Variety, Unrelated Variety and Regional Economic Growth," Regional Studies, Taylor & Francis Journals, vol. 41(5), pages 685-697.
    16. Lori Rosenkopf & Atul Nerkar, 2001. "Beyond local search: boundary‐spanning, exploration, and impact in the optical disk industry," Strategic Management Journal, Wiley Blackwell, vol. 22(4), pages 287-306, April.
    17. Kristina Dahlin & Deans M. Behrens, 2005. "When is an invention really radical? Defining and measuring technological radicalness," Post-Print hal-00480416, HAL.
    18. Bernardo S Buarque & Ronald B Davies & Ryan M Hynes & Dieter F Kogler, 2020. "OK Computer: the creation and integration of AI in Europe," Cambridge Journal of Regions, Economy and Society, Cambridge Political Economy Society, vol. 13(1), pages 175-192.
    19. Evenson, Robert E & Kislev, Yoav, 1976. "A Stochastic Model of Applied Research," Journal of Political Economy, University of Chicago Press, vol. 84(2), pages 265-281, April.
    20. Jeffrey Kuhn & Kenneth Younge & Alan Marco, 2020. "Patent citations reexamined," RAND Journal of Economics, RAND Corporation, vol. 51(1), pages 109-132, March.
    21. Pierre-Alexandre Balland & Ron Boschma & Joan Crespo & David L. Rigby, 2019. "Smart specialization policy in the European Union: relatedness, knowledge complexity and regional diversification," Regional Studies, Taylor & Francis Journals, vol. 53(9), pages 1252-1268, September.
    22. Sarah Kaplan & Keyvan Vakili, 2015. "The double-edged sword of recombination in breakthrough innovation," Strategic Management Journal, Wiley Blackwell, vol. 36(10), pages 1435-1457, October.
    23. Glaeser, Edward L & Hedi D. Kallal & Jose A. Scheinkman & Andrei Shleifer, 1992. "Growth in Cities," Journal of Political Economy, University of Chicago Press, vol. 100(6), pages 1126-1152, December.
      • Edward L. Glaeser & Hedi D. Kallal & Jose A. Scheinkman & Andrei Shleifer, 1991. "Growth in Cities," NBER Working Papers 3787, National Bureau of Economic Research, Inc.
      • Glaeser, Edward Ludwig & Kallal, Hedi D. & Scheinkman, Jose A. & Shleifer, Andrei, 1992. "Growth in Cities," Scholarly Articles 3451309, Harvard University Department of Economics.
    24. Arianna Martinelli & Andrea Mina & Massimo Moggi, 2021. "The enabling technologies of industry 4.0: examining the seeds of the fourth industrial revolution [Mapping innovation dynamics in the Internet of Things domain: evidence from patent analysis]," Industrial and Corporate Change, Oxford University Press and the Associazione ICC, vol. 30(1), pages 161-188.
    25. Dieter F. Kogler & David L. Rigby & Isaac Tucker, 2013. "Mapping Knowledge Space and Technological Relatedness in US Cities," European Planning Studies, Taylor & Francis Journals, vol. 21(9), pages 1374-1391, September.
    26. R. Shearmur & Christophe Carrincazeaux & D. Doloreux, 2016. "Handbook on the Geographies of Innovation," Post-Print hal-03152373, HAL.
    27. Richard Shearmu & Christophe Carrincazeaux & David Doloreux (ed.), 2016. "Handbook on the Geographies of Innovation," Books, Edward Elgar Publishing, number 16055.
    28. Lybbert, Travis J. & Zolas, Nikolas J., 2014. "Getting patents and economic data to speak to each other: An ‘Algorithmic Links with Probabilities’ approach for joint analyses of patenting and economic activity," Research Policy, Elsevier, vol. 43(3), pages 530-542.
    29. Dahlin, Kristina B. & Behrens, Dean M., 2005. "When is an invention really radical?: Defining and measuring technological radicalness," Research Policy, Elsevier, vol. 34(5), pages 717-737, June.
    30. M. Hartog & R. Boschma & M. Sotarauta, 2012. "The Impact of Related Variety on Regional Employment Growth in Finland 1993--2006: High-Tech versus Medium/Low-Tech," Industry and Innovation, Taylor & Francis Journals, vol. 19(6), pages 459-476, August.
    31. Gautam Ahuja & Curba Morris Lampert, 2001. "Entrepreneurship in the large corporation: a longitudinal study of how established firms create breakthrough inventions," Strategic Management Journal, Wiley Blackwell, vol. 22(6‐7), pages 521-543, June.
    32. Combes, Pierre-Philippe & Duranton, Gilles & Gobillon, Laurent, 2008. "Spatial wage disparities: Sorting matters!," Journal of Urban Economics, Elsevier, vol. 63(2), pages 723-742, March.
    33. Roberto Antonietti & Sandro Montresor, 2019. "Regional diversification patterns and Key Enabling Technologies (KETs) in Italian regions," Papers in Evolutionary Economic Geography (PEEG) 1928, Utrecht University, Department of Human Geography and Spatial Planning, Group Economic Geography, revised Oct 2019.
    34. Manuel Trajtenberg, 1990. "A Penny for Your Quotes: Patent Citations and the Value of Innovations," RAND Journal of Economics, The RAND Corporation, vol. 21(1), pages 172-187, Spring.
    35. R. Shearmur & Christophe Carrincazeaux & D. Doloreux, 2016. "Handbook on the Geographies of Innovation : Preface," Post-Print hal-03025189, HAL.
    36. Schilling, Melissa A. & Green, Elad, 2011. "Recombinant search and breakthrough idea generation: An analysis of high impact papers in the social sciences," Research Policy, Elsevier, vol. 40(10), pages 1321-1331.
    37. David J. Teece & Richard Rumelt & Giovanni Dosi & Sidney Winter, 2000. "Understanding Corporate Coherence: Theory and Evidence," Chapters, in: Innovation, Organization and Economic Dynamics, chapter 9, pages 264-293, Edward Elgar Publishing.
    38. Tsai, Kuen-Hung & Wang, Jiann-Chyuan, 2009. "External technology sourcing and innovation performance in LMT sectors: An analysis based on the Taiwanese Technological Innovation Survey," Research Policy, Elsevier, vol. 38(3), pages 518-526, April.
    39. repec:bla:scandj:v:104:y:2002:i:4:p:531-45 is not listed on IDEAS
    40. Ron Boschma & Pierre-Alexandre Balland & Dieter Franz Kogler, 2015. "Relatedness and technological change in cities: the rise and fall of technological knowledge in US metropolitan areas from 1981 to 2010," Industrial and Corporate Change, Oxford University Press and the Associazione ICC, vol. 24(1), pages 223-250.
    41. Ron Boschma & Asier Minondo & Mikel Navarro, 2012. "Related variety and regional growth in Spain," Papers in Regional Science, Wiley Blackwell, vol. 91(2), pages 241-256, June.
    42. Artur Santoalha, 2019. "Technological diversification and Smart Specialisation: the role of cooperation," Regional Studies, Taylor & Francis Journals, vol. 53(9), pages 1269-1283, September.
    43. Sandro Montresor & Francesco Quatraro, 2017. "Regional Branching and Key Enabling Technologies: Evidence from European Patent Data," Economic Geography, Taylor & Francis Journals, vol. 93(4), pages 367-396, August.
    44. Strumsky, Deborah & Lobo, José, 2015. "Identifying the sources of technological novelty in the process of invention," Research Policy, Elsevier, vol. 44(8), pages 1445-1461.
    45. Fleming, Lee & Sorenson, Olav, 2001. "Technology as a complex adaptive system: evidence from patent data," Research Policy, Elsevier, vol. 30(7), pages 1019-1039, August.
    46. Adam B. Jaffe & Manuel Trajtenberg & Rebecca Henderson, 1993. "Geographic Localization of Knowledge Spillovers as Evidenced by Patent Citations," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 108(3), pages 577-598.
    47. Adam B. Jaffe & Gaétan de Rassenfosse, 2017. "Patent citation data in social science research: Overview and best practices," Journal of the Association for Information Science & Technology, Association for Information Science & Technology, vol. 68(6), pages 1360-1374, June.
    48. Artur Santoalha, 2019. "Technological Diversification and Smart Specialization: the role of cooperation," Working Papers on Innovation Studies 20190109, Centre for Technology, Innovation and Culture, University of Oslo.
    49. Manuel Trajtenberg & Rebecca Henderson & Adam Jaffe, 1997. "University Versus Corporate Patents: A Window On The Basicness Of Invention," Economics of Innovation and New Technology, Taylor & Francis Journals, vol. 5(1), pages 19-50.
    50. Schoenmakers, Wilfred & Duysters, Geert, 2010. "The technological origins of radical inventions," Research Policy, Elsevier, vol. 39(8), pages 1051-1059, October.
    51. Olsson, Ola & Frey, Bruno S, 2002. "Entrepreneurship as Recombinant Growth," Small Business Economics, Springer, vol. 19(2), pages 69-80, September.
    52. G. M.P. Swann, 2009. "The Economics of Innovation," Books, Edward Elgar Publishing, number 13211.
    53. Jeremy Howells & John Bessant, 2012. "Introduction: Innovation and economic geography: a review and analysis," Journal of Economic Geography, Oxford University Press, vol. 12(5), pages 929-942, September.
    54. Roberta Capello, 2013. "Knowledge, Innovation, and Regional Performance: Toward Smart Innovation Policies," Growth and Change, Wiley Blackwell, vol. 44(2), pages 185-194, June.
    55. L. M.A. Bettencourt & J. Lobo & G. B. West, 2008. "Why are large cities faster? Universal scaling and self-similarity in urban organization and dynamics," The European Physical Journal B: Condensed Matter and Complex Systems, Springer;EDP Sciences, vol. 63(3), pages 285-293, June.
    56. David L. Rigby, 2015. "Technological Relatedness and Knowledge Space: Entry and Exit of US Cities from Patent Classes," Regional Studies, Taylor & Francis Journals, vol. 49(11), pages 1922-1937, November.
    57. Ron Boschma & Simona Iammarino, 2009. "Related Variety, Trade Linkages, and Regional Growth in Italy," Economic Geography, Taylor & Francis Journals, vol. 85(3), pages 289-311, July.
    58. Stuart J. H. Graham & Alan C. Marco & Amanda F. Myers, 2018. "Patent transactions in the marketplace: Lessons from the USPTO Patent Assignment Dataset," Journal of Economics & Management Strategy, Wiley Blackwell, vol. 27(3), pages 343-371, September.
    59. Lee Fleming, 2001. "Recombinant Uncertainty in Technological Search," Management Science, INFORMS, vol. 47(1), pages 117-132, January.
    60. Per Botolf Maurseth & Bart Verspagen, 2002. "Knowledge Spillovers in Europe: A Patent Citations Analysis," Scandinavian Journal of Economics, Wiley Blackwell, vol. 104(4), pages 531-545, December.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Roberto Antonietti & Luca Cattani & Francesca Gambarotto & Giulio Pedrini, 2021. "Education, routine, and complexity-biased Knowledge Enabling Technologies: Evidence from Emilia-Romagna, Italy," Discussion Paper series in Regional Science & Economic Geography 2021-07, Gran Sasso Science Institute, Social Sciences, revised May 2021.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Ron Boschma & Ernest Miguelez & Rosina Moreno & Diego B. Ocampo-Corrales, 2021. "Technological breakthroughs in European regions: the role of related and unrelated combinations," Papers in Evolutionary Economic Geography (PEEG) 2118, Utrecht University, Department of Human Geography and Spatial Planning, Group Economic Geography, revised Jun 2021.
    2. Barbieri, Nicolò & Marzucchi, Alberto & Rizzo, Ugo, 2020. "Knowledge sources and impacts on subsequent inventions: Do green technologies differ from non-green ones?," Research Policy, Elsevier, vol. 49(2).
    3. Apa, Roberta & De Noni, Ivan & Orsi, Luigi & Sedita, Silvia Rita, 2018. "Knowledge space oddity: How to increase the intensity and relevance of the technological progress of European regions," Research Policy, Elsevier, vol. 47(9), pages 1700-1712.
    4. Kolja Hesse, 2020. "Related to whom? The impact of organisational and regional capabilities on radical breakthroughs," Bremen Papers on Economics & Innovation 2005, University of Bremen, Faculty of Business Studies and Economics.
    5. Sun, Bixuan & Kolesnikov, Sergey & Goldstein, Anna & Chan, Gabriel, 2021. "A dynamic approach for identifying technological breakthroughs with an application in solar photovoltaics," Technological Forecasting and Social Change, Elsevier, vol. 165(C).
    6. Kolja Hesse & Dirk Fornahl, 2020. "Essential ingredients for radical innovations? The role of (un‐)related variety and external linkages in Germany," Papers in Regional Science, Wiley Blackwell, vol. 99(5), pages 1165-1183, October.
    7. Abbasiharofteh, Milad & Kogler, Dieter F. & Lengyel, Balázs, 2023. "Atypical combinations of technologies in regional co-inventor networks," EconStor Open Access Articles and Book Chapters, ZBW - Leibniz Information Centre for Economics, vol. 52(10), pages 1-1.
    8. Ugo Rizzo & Nicolò Barbieri & Laura Ramaciotti & Demian Iannantuono, 2020. "The division of labour between academia and industry for the generation of radical inventions," The Journal of Technology Transfer, Springer, vol. 45(2), pages 393-413, April.
    9. Orsatti, Gianluca & Quatraro, Francesco & Pezzoni, Michele, 2020. "The antecedents of green technologies: The role of team-level recombinant capabilities," Research Policy, Elsevier, vol. 49(3).
    10. Stephan, Annegret & Bening, Catharina R. & Schmidt, Tobias S. & Schwarz, Marius & Hoffmann, Volker H., 2019. "The role of inter-sectoral knowledge spillovers in technological innovations: The case of lithium-ion batteries," Technological Forecasting and Social Change, Elsevier, vol. 148(C).
    11. Ernest Miguélez & Rosina Moreno, 2016. "“Relatedness, external linkages and innovation”," IREA Working Papers 201603, University of Barcelona, Research Institute of Applied Economics, revised Apr 2016.
    12. Carolina Castaldi & Koen Frenken & Bart Los, 2015. "Related Variety, Unrelated Variety and Technological Breakthroughs: An analysis of US State-Level Patenting," Regional Studies, Taylor & Francis Journals, vol. 49(5), pages 767-781, May.
    13. Pierre-Alexandre Balland & David L. Rigby, 2015. "The geography and evolution of complex knowledge," Papers in Evolutionary Economic Geography (PEEG) 1502, Utrecht University, Department of Human Geography and Spatial Planning, Group Economic Geography, revised Jan 2015.
    14. Elekes, Zoltán, 2016. "A regionális növekedés új tényezői az evolúciós gazdaságföldrajzi kutatásokban. A változatosság és a technológiai közelség [The new factors of regional growth in research into evolutionary economic," Közgazdasági Szemle (Economic Review - monthly of the Hungarian Academy of Sciences), Közgazdasági Szemle Alapítvány (Economic Review Foundation), vol. 0(3), pages 307-329.
    15. Sándor Juhász & Tom Broekel & Ron Boschma, 2021. "Explaining the dynamics of relatedness: The role of co‐location and complexity," Papers in Regional Science, Wiley Blackwell, vol. 100(1), pages 3-21, February.
    16. Kathryn Rudie Harrigan & Maria Chiara Guardo & Elona Marku, 2018. "Patent value and the Tobin’s q ratio in media services," The Journal of Technology Transfer, Springer, vol. 43(1), pages 1-19, February.
    17. Nils Grashof & Alexander Kopka, 2023. "Artificial intelligence and radical innovation: an opportunity for all companies?," Small Business Economics, Springer, vol. 61(2), pages 771-797, August.
    18. Colombelli, Alessandra & Quatraro, Francesco, 2018. "New firm formation and regional knowledge production modes: Italian evidence," Research Policy, Elsevier, vol. 47(1), pages 139-157.
    19. Ron Boschma, 2018. "The geographical dimension of structural change," Papers in Evolutionary Economic Geography (PEEG) 1839, Utrecht University, Department of Human Geography and Spatial Planning, Group Economic Geography, revised Nov 2018.
    20. Verhoeven, Dennis & Bakker, Jurriën & Veugelers, Reinhilde, 2016. "Measuring technological novelty with patent-based indicators," Research Policy, Elsevier, vol. 45(3), pages 707-723.

    More about this item

    Keywords

    technological novelty; knowledge combination; key enabling technologies (KETs);
    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
    • R58 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Regional Government Analysis - - - Regional Development Planning and Policy
    • O31 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Innovation and Invention: Processes and Incentives
    • O33 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Technological Change: Choices and Consequences; Diffusion Processes

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ahy:wpaper:wp5. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Andrea Ascani (email available below). General contact details of provider: https://edirc.repec.org/data/ssgssit.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.