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William R. Kerr
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Journal Articles
Publisher: Journals Gateway
The Review of Economics and Statistics (2015) 97 (4): 877–899.
Published: 01 October 2015
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We model spatial clusters of similar firms. Our model highlights how agglomerative forces lead to localized, individual connections among firms, while interaction costs generate a defined distance over which attraction forces operate. Overlapping firm interactions yield agglomeration clusters that are much larger than the underlying agglomerative forces themselves. Empirically, we demonstrate that our model’s assumptions are present in the structure of technology and labor flows within Silicon Valley. Our model further identifies how the lengths over which agglomerative forces operate influence the shapes and sizes of industrial clusters; we confirm these predictions using variations across patent technology clusters.
Includes: Supplementary data
Journal Articles
Publisher: Journals Gateway
The Review of Economics and Statistics (2015) 97 (2): 498–520.
Published: 01 May 2015
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We study entrepreneurship and growth through the lens of U.S. cities. Initial entrepreneurship correlates strongly with urban employment growth, but endogeneity bedevils interpretation. Chinitz (1961) hypothesized that coal mines near cities led to specialization in industries, like steel, with significant scale economies and that those big firms subsequently damped entrepreneurship across several generations. Proximity to historical mining deposits is associated with reduced entrepreneurship for cities in the 1970s and onward in industries unrelated to mining. We use historical mines as an instrument for our modern entrepreneurship measures and find a persistent link between entrepreneurship and city employment growth.
Includes: Supplementary data
Journal Articles
Publisher: Journals Gateway
The Review of Economics and Statistics (2008) 90 (3): 518–537.
Published: 01 August 2008
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This study explores the role of U.S. ethnic scientific and entrepreneurial communities for international technology transfer to their home countries. U.S. ethnic researchers are quantified through an ethnic-name database and individual patent records. International patent citations confirm knowledge diffuses through ethnic networks, and manufacturing output in foreign countries increases with an elasticity of 0.1–0.3 to stronger scientific integration with the U.S. frontier. Specifications exploiting exogenous changes in U.S. immigration quotas address reverse-causality concerns. Exercises further differentiate responses by development stages in home countries. Ethnic technology transfers are particularly strong in high-tech industries and among Chinese economies.