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Innovation and inter-city knowledge spillovers : Social, geographical, and technological connectedness and psychological openness

Obschonka, Martin ; Tavassoli, Sam LU ; Rentfrow, P. Jason ; Potter, Jeff and Gosling, Samuel D. (2023) In Research Policy 52(8).
Abstract

Knowledge spillovers across economic agents are central to the process of technological innovation. Yet, the mechanisms by which spillovers travel and manifest as innovation are poorly understood. To fill that gap, we study how knowledge spillovers emanating from other cities (knowledge pools) diffuse and get absorbed. We refine the notion of connectedness by comparing three mechanisms through which knowledge spillovers occur between cities (geographically, technologically, and socially via social media links). We also examine how local psychological openness facilitates this diffusion and absorption process. Using 360 U.S. cities as our empirical context, we find geographically mediated and socially mediated (but not technologically... (More)

Knowledge spillovers across economic agents are central to the process of technological innovation. Yet, the mechanisms by which spillovers travel and manifest as innovation are poorly understood. To fill that gap, we study how knowledge spillovers emanating from other cities (knowledge pools) diffuse and get absorbed. We refine the notion of connectedness by comparing three mechanisms through which knowledge spillovers occur between cities (geographically, technologically, and socially via social media links). We also examine how local psychological openness facilitates this diffusion and absorption process. Using 360 U.S. cities as our empirical context, we find geographically mediated and socially mediated (but not technologically mediated) knowledge spillovers to show positive relationships with the rate of patenting. Moreover, results confirm a positive moderation effect of psychological openness on the relationship between socially mediated knowledge spillovers and the rate of patenting. By providing a more comprehensive test of knowledge spillover mechanisms, our study indicates that the often-quoted physical proximity to knowledge pools remains a robust driver. However, a city's virtual connection to knowledge pools (e.g., via social media links between people) also matter, particularly if that city is psychologically more open. This catalyst of local openness might occur because open populations better absorb inflowing knowledge and utilize it more effectively via key innovators. We discuss implications for research and policy with a particular focus on virtual human (vs. geographically bounded) connectedness and psychological openness as intertwined key areas of a new human geography of innovation.

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author
; ; ; and
organization
publishing date
type
Contribution to journal
publication status
published
subject
keywords
Cities, Connectedness, Innovation, Knowledge spillover, Psychological openness, Psychology
in
Research Policy
volume
52
issue
8
article number
104849
publisher
Elsevier
external identifiers
  • scopus:85164215661
ISSN
0048-7333
DOI
10.1016/j.respol.2023.104849
language
English
LU publication?
yes
id
d7f41f38-3c72-420e-8566-b8248ab70bcd
date added to LUP
2023-09-04 10:45:08
date last changed
2024-01-20 03:21:12
@article{d7f41f38-3c72-420e-8566-b8248ab70bcd,
  abstract     = {{<p>Knowledge spillovers across economic agents are central to the process of technological innovation. Yet, the mechanisms by which spillovers travel and manifest as innovation are poorly understood. To fill that gap, we study how knowledge spillovers emanating from other cities (knowledge pools) diffuse and get absorbed. We refine the notion of connectedness by comparing three mechanisms through which knowledge spillovers occur between cities (geographically, technologically, and socially via social media links). We also examine how local psychological openness facilitates this diffusion and absorption process. Using 360 U.S. cities as our empirical context, we find geographically mediated and socially mediated (but not technologically mediated) knowledge spillovers to show positive relationships with the rate of patenting. Moreover, results confirm a positive moderation effect of psychological openness on the relationship between socially mediated knowledge spillovers and the rate of patenting. By providing a more comprehensive test of knowledge spillover mechanisms, our study indicates that the often-quoted physical proximity to knowledge pools remains a robust driver. However, a city's virtual connection to knowledge pools (e.g., via social media links between people) also matter, particularly if that city is psychologically more open. This catalyst of local openness might occur because open populations better absorb inflowing knowledge and utilize it more effectively via key innovators. We discuss implications for research and policy with a particular focus on virtual human (vs. geographically bounded) connectedness and psychological openness as intertwined key areas of a new human geography of innovation.</p>}},
  author       = {{Obschonka, Martin and Tavassoli, Sam and Rentfrow, P. Jason and Potter, Jeff and Gosling, Samuel D.}},
  issn         = {{0048-7333}},
  keywords     = {{Cities; Connectedness; Innovation; Knowledge spillover; Psychological openness; Psychology}},
  language     = {{eng}},
  number       = {{8}},
  publisher    = {{Elsevier}},
  series       = {{Research Policy}},
  title        = {{Innovation and inter-city knowledge spillovers : Social, geographical, and technological connectedness and psychological openness}},
  url          = {{http://dx.doi.org/10.1016/j.respol.2023.104849}},
  doi          = {{10.1016/j.respol.2023.104849}},
  volume       = {{52}},
  year         = {{2023}},
}