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Geographic Localization of Knowledge Spillovers as Evidenced by Patent Citations

Geographic Localization of Knowledge Spillovers as Evidenced by Patent Citations Abstract We compare the geographic location of patent citations with that of the cited patents, as evidence of the extent to which knowledge spillovers are geographically localized. We find that citations to domestic patents are more likely to be domestic, and more likely to come from the same state and SMSA as the cited patents, compared with a “control frequency” reflecting the pre-existing concentration of related research activity. These effects are particularly significant at the local (SMSA) level. Localization fades over time, but only very slowly. There is no evidence that more “basic” inventions diffuse more rapidly than others. * We gratefully acknowledge support from the Ameritech Foundation, via the Ameritech Fellows program of the Center for Regional Economic Issues at Case Western Reserve University, and from the National Science Foundation through grant SES91-10516. We thank Neil Bania, Ricardo Caballero, Michael Fogarty, Zvi Griliches, Frank Lichtenberg, Francis Narin, seminar participants at NBER and Case Western Reserve University, and two anonymous referees for helpful comments. Any errors are the responsibility of the authors. This content is only available as a PDF. © 1993 by the President and Fellows of Harvard College and the Massachusetts Institute of Technology http://www.deepdyve.com/assets/images/DeepDyve-Logo-lg.png The Quarterly Journal of Economics Oxford University Press

Geographic Localization of Knowledge Spillovers as Evidenced by Patent Citations

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Publisher
Oxford University Press
Copyright
© 1993 by the President and Fellows of Harvard College and the Massachusetts Institute of Technology
ISSN
0033-5533
eISSN
1531-4650
DOI
10.2307/2118401
Publisher site
See Article on Publisher Site

Abstract

Abstract We compare the geographic location of patent citations with that of the cited patents, as evidence of the extent to which knowledge spillovers are geographically localized. We find that citations to domestic patents are more likely to be domestic, and more likely to come from the same state and SMSA as the cited patents, compared with a “control frequency” reflecting the pre-existing concentration of related research activity. These effects are particularly significant at the local (SMSA) level. Localization fades over time, but only very slowly. There is no evidence that more “basic” inventions diffuse more rapidly than others. * We gratefully acknowledge support from the Ameritech Foundation, via the Ameritech Fellows program of the Center for Regional Economic Issues at Case Western Reserve University, and from the National Science Foundation through grant SES91-10516. We thank Neil Bania, Ricardo Caballero, Michael Fogarty, Zvi Griliches, Frank Lichtenberg, Francis Narin, seminar participants at NBER and Case Western Reserve University, and two anonymous referees for helpful comments. Any errors are the responsibility of the authors. This content is only available as a PDF. © 1993 by the President and Fellows of Harvard College and the Massachusetts Institute of Technology

Journal

The Quarterly Journal of EconomicsOxford University Press

Published: Aug 1, 1993

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