Abstract

ABSTRACT This study develops two novel agglomeration indexes, combining the feature unbalance agglomeration index family and the distance-based agglomeration index family, to measure innovation agglomeration. We examine the positive effects of innovation agglomeration on the industrial total factor productivity (TFP). We discuss the factors driving the innovation agglomeration at the city level and analyze them in cities of the Yangtze River Delta (YRD). We find proximity to central cities and nearest ports has a positive impact, industrial level has an inverse U-shape impact, investment and commercial culture have positive impacts, and innovation policy has a negative impact. We identify five innovation agglomeration factors and discuss their effects on the theoretical and practical R&D management applications and strategies.

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