Research on urban economic centrality in the perspectives of knowledge stocks and flows

Abstract

In light of the profound advancements in information and communication technologies ushering in the knowledge economy, the urban space is undergoing a transformation from the traditional “space of places” to the emerging “space of flows.” This shift poses questions about the influence of knowledge flows on urban economic centrality. This paper seeks to address this knowledge gap by introducing a theoretical framework that elucidates how knowledge contributes to urban economic centrality. Our analysis focuses on both intra-city knowledge stocks and inter-city knowledge flows. Empirical findings in China highlight that knowledge stocks based on R&D and education levels, along with knowledge flows, significantly and positively influence all four dimensions of centrality. In contrast, knowledge spatial agglomeration within the knowledge stocks exhibits a significant positive correlation solely with power centrality. Additionally, although the knowledge stock structures don't yield significant results in the diffusion centrality model, for agglomeration and power centralities, a combination of specialized knowledge and telecommunications enhances urban economic centrality, while face-to-face communication strengthens the positive impact of diverse knowledge on urban economic centrality. The results suggest implementing knowledge-based policies tailored to different nodes in the city network is expected to promote sustainable competitiveness in the urban system.