Papers in Evolutionary Economic Geography

September 26, 2013

# 13.16 Relatedness and Technological Change in Cities: The rise and fall of technological knowledge in U.S. metropolitan areas from 1981 to 2010

Filed under: 2013 — Tags: , , , , — mattehartog @ 9:14 am

Ron Boschma, Pierre-Alexandre Balland, Dieter Franz Kogler

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This paper investigates by means of USPTO patent data whether technological relatedness was a crucial driving force behind technological change in 366 U.S. cities from 1981 to 2010. Based on a three-way fixed effects model, we find that the entry probability of a new technology in a city increases by 30 percent if the level of relatedness with existing technologies in the city increases by 10 percent, while the exit probability of an existing technology decreases by 8 percent.

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