How Does Innovation-Collaboration Network Structure Influence Regional Economic Resilience?

Abstract

This paper examines whether different structures of co-patenting networks affect regional economic adaptation and adaptability in divergent ways. Adaptation differentiates from adaptability by recovering in a pre-shock growth path, while adaptability entails forging a new growth path. Focusing on computer, electronic, and electrical equipment manufacturing industries in U.S. metropolitan and micropolitan areas from 1990 to 2012, the study reveals that complete networks, characterized by closely connected nodes, promote adaptation but weaken adaptability. In contrast, coalitional networks, featuring loosely connected subgroups, enhance adaptability but hurt adaptation. The study contributes to regional economic resilience literature by empirically demonstrating the trade-off relationship between adaptation and adaptability from network structures’ perspective. Practically, the study helps policy makers to effectively allocate stimuli, such as grants and tax incentives, to develop targeted co-patenting networks to improve adaptation or adaptability.