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- Jena Economic Resea...
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- The Extension of Cl...
The Extension of Clusters: Differences-in-Difference Evidence from the Bavarian State-Wide Cluster Policy
- Autor(in)
- Erschienen
- 25. September 2008
- Nummer des Discussion-Papers
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2008-073
- Schlagwort(e)
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Cluster Policy
Difference-in Difference
Regional Policy
- Zusammenfsg.
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If one cluster increases local competitiveness, can politicians, by interlinking clusters, achieve an even better effect at the state level? To answer this question, the paper analyzes the “Cluster Initiative” introduced in 1999 by the Bavarian State Government. The purpose of the initiative was to create a Bavarian-wide innovation network in support of state-wide knowledge flows. Using a difference-in-differences approach, we find that introducing the Bavarian-wide cluster policy increased the likelihood of innovation by a firm in the targeted industry by 4 to 7 percentage points. However, this effect is mainly driven by large firms’ increased likelihood to innovate.
- article pub. typess JER
- Research article
- article languages JER
- Englisch
- article research fields JER
- economics
- JEL-Classification for JER
- R38 - Government Policies; Regulatory Policies ; R11 - Regional Economic Activity: Growth, Development, and Changes ; O32 - Management of Technological Innovation and R&D