We study the impact of small firms on innovation in regions where large labs are present. Small firms generate demand for specialized services that lower entry costs for others. This effect is particularly relevant in the presence of large firms that spawn spin-outs caused by innovations deemed unrelated to the firm's overall business. We examine MSA-level patent data during the period 1975-2000 and find that innovation output is higher in regions where both a sizable population of small firms and large labs are present. The finding is robust to across-region as well as within-region analysis and the effect is stronger in certain subsamples in a manner that is consistent with our explanation. (C) 2014 Elsevier Inc. All rights reserved.
机构:
Stanford Univ, Dept Econ, Stanford, CA 94305 USA
CEPR, Ctr Econ Performance, Washington, DC USA
NBER, Cambridge, MA 02138 USAStanford Univ, Dept Econ, Stanford, CA 94305 USA
Bloom, Nicholas
Sadun, Raffaella
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机构:
NBER, Cambridge, MA 02138 USA
Harvard Univ, Sch Business, Soldiers Field, Boston, MA 02163 USAStanford Univ, Dept Econ, Stanford, CA 94305 USA
Sadun, Raffaella
Van Reenen, John
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h-index: 0
机构:
NBER, Cambridge, MA 02138 USA
London Sch Econ, Ctr Econ Performance, London WC2A 2AE, EnglandStanford Univ, Dept Econ, Stanford, CA 94305 USA
机构:
Stanford Univ, Dept Econ, Stanford, CA 94305 USA
CEPR, Ctr Econ Performance, Washington, DC USA
NBER, Cambridge, MA 02138 USAStanford Univ, Dept Econ, Stanford, CA 94305 USA
Bloom, Nicholas
Sadun, Raffaella
论文数: 0引用数: 0
h-index: 0
机构:
NBER, Cambridge, MA 02138 USA
Harvard Univ, Sch Business, Soldiers Field, Boston, MA 02163 USAStanford Univ, Dept Econ, Stanford, CA 94305 USA
Sadun, Raffaella
Van Reenen, John
论文数: 0引用数: 0
h-index: 0
机构:
NBER, Cambridge, MA 02138 USA
London Sch Econ, Ctr Econ Performance, London WC2A 2AE, EnglandStanford Univ, Dept Econ, Stanford, CA 94305 USA