Knowledge Spillover Effects Research Articles

Deciphering the complex interplay: Heterogeneous, threshold, and mediation effects of trade openness on CO2 emissions in Africa.

Despite having barely anything to do with the issue of CO2 emissions, Africa has been experiencing more severe climate change and its adverse effects than most other regions of the globe. However, the issue of CO2 emissions and its adverse effects has received relatively little attention in the African research arena. To this end, the present research assesses the effect of trade openness on the CO2 emissions utilizing panel data from 46 African countries spanning 2000 through 2022. To account for the possible heterogeneity and nonlinearity, the panel quantile regression and threshold methods were employed. Moreover, this study investigates the key mediating effects of the channel. The empirical findings show that greater trade openness is associated with significantly higher CO2 emission, additionally; it demonstrates that the influence is heterogeneous across different CO2 emission quantiles in African countries. Besides the result from the double threshold model reveals a complex, nonlinear relationship between trade openness and CO2 emissions in Africa. Moreover, the findings divulge that openness to trade indirectly reduces CO2 emissions through the substitution and technology channels whereas it indirectly increases carbon dioxide production via the economic track. Therefore, it is vital to promote the use of renewable energy, effectively leverage the knowledge spillover effects of trade to decrease energy intensity and formulate pertinent policies aimed at curbing carbon emissions and addressing the imminent threat of climate change in Africa. Besides, the nonlinear and heterogeneous effects of trade openness on CO2 emissions suggest that policies and interventions related to the impact of trade openness on CO2 emissions should consider the current level of carbon dioxide emissions.

Knowledge Spillovers and Integrated Circuit Innovation Ecosystem Resilience: Evidence from China

A resilient innovation ecosystem is an important guarantee for enhancing industrial competitiveness. Knowledge spillover is the key driving force to enhance system resilience. Firstly, we use the MEREC-CoCoSo method to calculate the resilience level of the integrated circuit (IC) innovation ecosystem and analyze the evolution trajectory of the resilience before and after the emergence of the “stuck-neck” problem. Secondly, based on the panel data of 30 provinces (autonomous regions and municipalities directly under the central government) in China from 2011 to 2021, this paper analyzes the mechanism of the impact of intra-regional knowledge spillovers on the resilience of IC innovation ecosystems using the fixed-effect model and analyzes the spatial effect of inter-regional knowledge spillovers on the resilience of innovation ecosystems using the spatial Durbin model under the human capital matrix. Finally, we analyze the regulating role of contractual and relational governance mechanisms and try to open the “black box” of governance. The result shows the following: (1) The polarization of innovative ecosystem resilience of integrated circuits is gradually increasing, with strong spatial agglomeration, high–high agglomeration, low–low agglomeration, and low–high dispersion, and there is an obvious “matthew effect” and “siphon effect”. (2) Both intra- and inter-regional knowledge spillovers contribute significantly to the resilience of IC innovation ecosystems. The contractual governance mechanism can effectively enhance the impact of knowledge spillovers on the resilience of innovation ecosystems in the region, and the relational governance mechanism has a positive impact on the resilience of innovation ecosystems in neighboring regions. (3) Heterogeneity results show that knowledge spillovers within the Pan-PRD region have a significant positive impact on innovation ecosystem resilience. Knowledge spillovers between regions with low innovation capacity have a double effect on innovation ecosystem resilience, and knowledge spillovers between regions with “talent highlands” have a facilitating effect on innovation ecosystem resilience. Accordingly, policy recommendations are put forward to open up channels for innovation knowledge spillover, realize effective allocation of innovation resources, and optimize the system of innovation talents.

Weak vs Strong Knowledge Spillover Effects. Evidence from Geographic Distribution of Innovative Startup in Italy

This paper introduces the concepts of weak and strong knowledge spillover effects within the context of the Knowledge Spillover Theory of Entrepreneurship. In this context, the fundamental idea of our proposition is to provide a comprehensive analysis of the factors and conditions promoting and supporting entrepreneurship development at the regional and provincial level using a unique unbalanced panel database, consisting of 9242 Italian Innovative startups for the period 2008-2018. In general terms, we argue that the evidence from our unbalanced panel dataset indicates that these dynamics are as follows. First, spillover effects deriving from competition are initially strong at the province level, and later decay to weak spillover effects at the regional level. Second, in terms of specialization (intra-industry) spillover effects, they are initially strong at the provincial level, and later become weak at the regional level. Third, spillover effects deriving from diversity (inter-industry) are predominantly strong at the regional level, yet weak at the provincial level of aggregation. At the provincial level, higher levels of competition result in strong knowledge spillover effects leading to higher new firm formation, with weak knowledge spillover effects deriving from specialization. Furthermore, in line with the Knowledge Spillover Theory of Entrepreneurship, the existence of non-homogeneous distribution of opportunities and related knowledge spillover effects create heterogeneity of patterns of new firm formation across different units of geographic aggregation. These results provide evidence of constraint potential for growth that remains a puzzle and challenge for academics and policymakers.

The impact of manufacturing agglomeration on green development performance: Evidence from the Yangtze river economic belt in China

Exploring pathways for China to achieve the dual goals of stabilizing economic growth and promoting green development provides important reference value for countries worldwide. This is particularly crucial in addressing global climate change and achieving carbon neutrality. This paper focuses on 108 cities within the Yangtze River Economic Belt in China, employing the Generalised Spatial Two-Stage Least Squares (GS2SLS) method to conduct an in-depth analysis of the impact of manufacturing agglomeration on green development performance. This study finds that, at the current stage, manufacturing agglomeration can effectively promote green development performance; however, the impact exhibits a U-shaped relationship. This means that the effect of manufacturing agglomeration on green development performance initially decreases and then increases. Additionally, knowledge spillover effects, resource allocation effects, and structural upgrading effects are important channels contributing to this nonlinear relationship. Extended analysis reveals that in the cities of the lower Yangtze River region, there is an inverted U-shaped relationship between manufacturing agglomeration and green development performance, while in the middle and upper reaches, the relationship is U-shaped. Furthermore, the expansion of city size positively promotes the green development effects of manufacturing agglomeration. These conclusions not only provide important guidance for China in achieving high-quality green development but also offer significant insights for developing countries worldwide in attaining the dual goals of economic growth and green development.

Scaling innovation: unveiling urban factors shaping creativity

It is crucial to explain the city scale effect from the perspective of innovation, which directly affects the formulation of city governance policies and, ultimately, city well-being. This paper employs urban panel data from China spanning the years 2008–2018 to empirically investigate the causal link between city size, measured by population, and the number of innovation outputs. The empirical results show that city size has a significant positive impact on the quantity of innovation output. Mechanism testing shows that knowledge spillover effects and high-skilled labor selection effects have credible explanatory power for city size effects. The research conclusions of this article have certain practical significance for urban governance and related policy formulation.

Collaborative Innovation in Construction Supply Chain under Digital Construction: Evolutionary Game Analysis Based on Prospect Theory

In the context of Digital Construction (DC), collaborative innovation in the construction supply chain (CSC) is crucial for long-term competitiveness. However, transparent information flows and fickle market circumstances hinder enterprises from actively participating in collaborative innovation, making it challenging to establish effective incentive mechanisms. To achieve sustained and stable collaborative innovation, an evolutionary game model of collaborative innovation between core enterprises and member enterprises in the CSC under DC based on Prospect Theory is constructed. Five equilibrium scenarios and evolutionary stability strategies are analyzed, and the corresponding stability conditions are obtained. Finally, the impact of different parameters on strategy selection are analyzed by numerical simulation. The results indicate that the balance between knowledge sharing and knowledge leakage is the premise of the positive impact of DC technology on collaborative innovation. Moreover, the adjustment of gain sensitivity and loss sensitivity is the key to enhancing managerial enthusiasm for collaborative innovation. Furthermore, the design of income distribution and innovation incentives must adhere to the reciprocity principle, while subsidies from owners demonstrate a prominent positive impact on collaborative innovation. This paper systematically expounds the dynamic influence of DC technology application, knowledge spillover effects, and managerial cognitive structures while confirming the intrinsic effect of innovation incentive mechanisms. It provides substantial theoretical reference and management enlightenment for promoting the development of collaborative innovation in the CSC under DC.

Knowledge spillovers and innovation performance of the originator: The moderating effect of technological alliances

Under what conditions do originators of innovation benefit from knowledge spillover by learning from knowledge recipients, and when do they not? This study examines how originator firms’ learning from recipients differs depending on their spillover characteristics. These characteristics were captured using the Spillover Knowledge Pool (SKP). It also examines how technological alliances moderate the relationship between SKP characteristics and originator follow-on innovations. An analysis of 62 firms over 10 years confirms that while the technological diversity of the SKP has a positive impact on the originator's innovation, the technological overlap of the SKP relative to the originator's knowledge has a negative impact. Furthermore, technological alliances enhance the positive effect of technological diversity while exacerbating the adverse effects of technological overlap. This study contributes to the literature on knowledge spillover, particularly within the knowledge-based view of firms, by providing a balanced perspective that addresses the dual impact of knowledge spillover on originator firms. Furthermore, this research highlights the contingent effects of knowledge spillover by examining the interplay between spillover phenomena and strategic factors, specifically technological alliances. The findings have concrete managerial and policy implications conducive to enhancing firms’ innovation performance in the context of knowledge spillover.

Potential contributions of digital finance to alleviating the ‘low-end lock-in’ dilemma for green innovation in enterprises

As climate change risks intensify worldwide, green technological innovation by enterprises has become a crucial factor affecting the balance between economic development and ecological governance. This paper utilizes data from Chinese A-share listed companies in heavily polluting industries from 2011 to 2021 to investigate the impact and mechanism of the knowledge spillover effect of enterprise digital finance development on the phenomenon of ‘low-end lock-in’ in green innovation. The study finds that digital finance development significantly promotes green innovation in enterprises, with a more pronounced enhancement in high-end green innovation output, thereby mitigating the phenomenon of ‘low-end lock-in’ in green innovation. Mechanism analysis reveals that the development of digital finance in enterprises facilitates high-end green innovation by alleviating financing constraints and enhancing internal control levels through internal and external governance structures. Heterogeneity tests indicate that the promotion effect of digital finance development on high-end green innovation is more pronounced in samples of state-owned enterprises, large and medium-sized enterprises, and enterprises in central and eastern regions. This paper constructs an index of digital finance development for enterprises through text analysis, providing theoretical support for micro-enterprise research on digital finance development and empirical support for the impact of financial development trends on theories of enterprise green innovation.

Missing links of knowledge spillover effects on firm intensity and regional development

AbstractThis paper investigates the presence and extent of missing links that prevent the transmission and condition the flow of knowledge spillover effects (KSE) across space and time. Findings using a comprehensive database composed of 9242 innovative startups from Italy covering the period 2008–2018 and all 20 geographic regions as well as all economic sectors at the 2-digit level of aggregation indicate that missing links related to observed differences in industry structures and availability of pools of skilled human capital amount for large and persistent differences in terms of firm intensity differential across neighboring regions. More specifically, we observe that regions with initial existent high firm intensity are more likely to continue enhancing their labor pools by both endogenously increasing high-skilled human capital and by attracting high-skilled human capital from neighboring regions. Intra- and inter-industry spillovers are marked by high levels of heterogeneity. Consequently, we find that missing links related to KSE create directional effects, and these effects are neither symmetric nor reciprocal in adjacent geographical regions. Invisible barriers to KSE transmission, imposed by the presence of missing links, prevent the work of the invisible hand.

Fiscal expenditure efficiency and green economic efficiency: evidence from Chinese cities

This study develops indicators for evaluating Green Economy Efficiency (GEE) and Fiscal Expenditure Efficiency (FEE) at the prefecture level and above within Chinese cities. Utilizing the super-efficiency SBM model and a three-stage DEA model, we empirically examine the influence of FEE on GEE. To address the issue of endogeneity arising from reverse causality between FEE and GEE, this research employs fiscal autonomy and officials’ tenure as instrumental variables for FEE. The key findings are summarized as follows: (1) GEE exhibits a fluctuating upward trend from 2006 to 2020, while FEE remains relatively stable overall. Notably, the GEE and FEE in the eastern region surpass those in the central and western regions. (2) A one percentage point increase in FEE corresponds to a substantial 7.597% rise in GEE, indicating a significant promotional effect, a result consistently upheld in robustness tests. Furthermore, factors such as urbanization level, economic development, education level, and industrial structure also contribute to urban green economic growth. (3) FEE primarily contributes to GEE through local economic growth, urban infrastructure development, and regional innovation levels. (4) The impact of FEE on GEE is more pronounced in developed cities, larger cities, those with high fiscal freedom, and highly urbanized cities. Based on these conclusions, policy recommendations are proposed: (1) contingent upon local circumstances, each municipal government should optimize its fiscal expenditure structure and enhance FEE based on its unique endowments; (2) make full use of spatial correlation and knowledge spillover effect to promote the coordinated growth of FEE and GEE; (3) improve urban infrastructure construction and encourage regional technological innovation.

Total factor productivity in Kenyan manufacturing firms: The role of ISO certification and direct vs indirect export intensity

AbstractUsing the World Bank panel enterprise data for Kenya for the period 2007–2013–2018, we examined the role of ISO certification and export intensity in explaining the total factor productivity (TFP) of Kenyan manufacturing firms. Contrary to previous studies that largely focus on export propensity, this paper distinguished between the effects of direct and indirect export intensity. To address the endogeneity problem, we instrumented both direct and indirect export intensity variables with imported input supplies dummy. Further, we controlled for heterogeneity in our models by incorporating the year and industry fixed effects as well as the unobserved time‐varying firm characteristics. We found opposite effects of exporting on TFP. While direct export intensity significantly increased TFP, indirect export intensity significantly curtailed TFP. This suggested that direct exporters vis‐à‐vis indirect exporters were more likely to efficiently exploit the productive capacity of foreign technology and knowledge spillover effects that accrue from learning‐by‐exporting. Second, ISO certification significantly increased TFP for indirect exporting firms only denoting a stronger compensating effect for these intermediary‐dependent exporting enterprises. It also affirmed the need by manufacturing firms to attain Internationally Recognized Quality Certification standards. This will increase the competitiveness of their products, hence boosting their chances of breaking into the international markets.

A pathway to coordinated regional development: Energy utilization efficiency and green development - Evidence from China's major national strategic zones

According to the new economic geography hypothesis, this study establishes an analytical framework to assess the efficiency of energy use and the progress of green development. The framework is based on panel data collected from 254 cities at the prefecture level in China. The spatial Durbin model is employed to examine the influence and spatial spillover effect of energy utilization efficiency on green development in major national strategic zones. The results show that: improving energy utilization efficiency promotes green development in major national strategic regions, with a stronger intra-regional transfer effect than inter-regional. This is confirmed by robustness and endogeneity analyses. The spillover intensity of energy utilization efficiency on green development varies across regions. It shows an inverted U-shape curve in the Yangtze River Economic Belt, a U-shape curve in the Yellow River Basin and Yangtze River Delta region, a diminishing margin in the Beijing-Tianjin-Hebei region, and a growing margin in the Guangdong-Hong Kong-Macao Greater Bay Area. There is significant spatial heterogeneity within these regions. Different mediating mechanisms affect green development in different regions. The knowledge spillover effect mediates energy utilization efficiency's impact on green development in the Guangdong-Hong Kong-Macao Greater Bay Area, the industry linkage effect in the Yangtze River Economic Belt and Beijing-Tianjin-Hebei region, the environmental improvement effect in the Yellow River Basin, and the market linkage effect in the Yangtze River Delta region. To promote regional coordinated development with energy utilization efficiency, the country should not only consider differences between national strategic areas but also focus on the effects of different paths to realize the complementarity between energy utilization efficiency and green development.

Circular economy and public policies: A dynamic analysis for European SMEs

AbstractPrevious empirical studies have highlighted the importance of the institutional framework in fostering a transition towards the circular economy (CE). Adopting a dynamic approach, which merges three Flash Eurobarometer surveys conducted in 2015, 2017 and 2021 into a single dataset, we observe the evolution in the factors determining the adoption of CE practices. Firstly, using factor analysis, our results indicate two groups of institutional drivers: knowledge and environmental spillovers. Secondly, applying a multivariate probit model, we observe that both spillovers have a positive effect on the adoption of the CE. Finally, we find that the effect of knowledge spillovers remains relatively constant, while that of environmental spillovers tends to increase. This suggests that firms are increasingly benefiting from the adoption of circular practices by their peers. Policymakers should take into account that a more intense knowledge spillovers and a stronger institutional framework will increase the likelihood of European small‐ and medium‐sized enterprises (SMEs) adopting CE practices.

Digital economy, resource distortion and low-carbon inclusive development-Evidence from the perspectives of a threshold effect and knowledge spillover effect.

The low-carbon economy represents a global transformation that encompasses production methods, lifestyles, values, national interests, and the destiny of humanity. As a significant contributor to carbon emissions, China has made a momentous strategic decision on carbon peaking and neutralization, infusing momentum into the global effort to address climate change. The rapid growth of the digital economy offers a fresh approach to achieving the "double carbon" objective and advancing the development of low-carbon transformation. Based on the panel data of 30 provinces in China, this paper uses the least square method to investigate the impact of digital economy development on regional low-carbon inclusive development. It is found that there is a significant inverted U shape in the impact of the digital economy on low-carbon inclusive development and the mechanism is resource allocation and ecological inequality. The threshold test found that the role of the digital economy in promoting low-carbon inclusive development shows a marginal decreasing trend. The inverted U-shaped impact of the digital economy on low-carbon inclusive development in the eastern and coastal areas and areas with a low level of factor productivity is more significant. Based on the knowledge factor spillover perspective, we found that the impact of the digital economy on low-carbon inclusive development has a spatial spillover effect, and this effect is more obvious under the role of R&D personnel mobility.

The framework for analyzing the mechanism of the evolution of inter-city relationship networks on regional economic resilience.

In this paper, we applied an analytical framework called "city cooperation intention → city relationship network → regional economic resilience," while considering the concept of externality as a measure of city cooperation intention, to draw insights from the perspectives of city relationships, biological evolution, and evolutionary economy. The evaluation system we developed focuses on the impact of inherent city culture on the inter-city relationship network, using variables such as knowledge spillover effect, technology symbiosis index, and market structure. We also incorporated innovation, resilience, and regeneration as determinants of regional economic resilience, building upon previous research findings. By applying structural force theory and a three-dimensional coordinate method, we analyzed the correlation between the relationship network and regional economic resilience, established a model to illustrate how the relationship network influences regional economic resilience, and described the course of action taken by the "three factors" of the relationship network on regional economic resilience. Ultimately, the aim of this study is to uncover the mechanism through which the inter-city relationship network affects regional economic resilience, with implications for healthy city design.

The Knowledge Spillover Effect of Multi-Scale Urban Innovation Networks on Industrial Development: Evidence from the Automobile Manufacturing Industry in China

Multi-scale urban innovation networks are important channels for intra- and inter-city knowledge spillovers and play an important role in urban industrial innovation and growth. However, there is a lack of direct evidence on the impact of multi-scale urban innovation networks on industrial development. Drawing upon the “buzz-and-pipeline” model, this paper analyzes the impact of multi-scale urban innovation networks on industrial development by taking the automobile manufacturing industry in China’s five urban agglomerations as an example. Firstly, based on the Form of Correlation between International Patent Classification and Industrial Classification for National Economic Activities (2018) and co-patents, we construct urban innovation networks on three different geographical scales, including intra-city innovation networks, inter-city innovation networks within urban agglomerations, and innovation networks between cities within and beyond urban agglomerations. Then, we employ the ordinary least squares model with fixed effects at the urban agglomeration level to explore the impact of urban multi-scale knowledge linkages on the development of the automobile manufacturing industry and the results showed that urban innovation networks at three different geographical scales have different impacts on industrial development. Specifically, intra-city innovation networks have a facilitating effect on industrial development, while both inter-city innovation networks within urban agglomerations and innovation networks between cities within and beyond urban agglomerations have an inverted U-shaped impact on industrial development. The interactions between urban innovation networks on three different geographical scales have a negative effect on industrial development. Simultaneously, the agglomeration level of urban industry plays a positive moderating role in the impacts of multi-scale urban innovation networks on industrial development.

The effects of knowledge spillovers, digital capabilities, and innovation on firm performance: A moderated mediation model

Despite the growing importance of implementing digital technologies in business contexts, empirical research relating to digital capabilities, innovation, and business performance still remains scarce, particularly relevant in these times of disruption. This study proposes a mediated-moderated framework to describe, according to the level of economic development of the country of firm location, the direct and indirect effects (mediated by digital capabilities and innovation) of knowledge spillovers on firm performance. We carried out a quantitative study deploying the longitudinal World Bank Enterprise Surveys for 2019, 2020 and 2021 in a dataset that included 27,727 firms from 41 countries and territories. We applied the partial least square structural equation modelling (PLS-SEM) methodological approach to test the mediated-moderated model that explains business performance. The results identify how knowledge spillovers positively influence firm performance through digital capabilities and innovation. Furthermore, we empirically demonstrate that the national level of economic development moderates the direct and indirect impacts of knowledge spillovers on firm performance.

The Impact of Family-Based Human Capital on Corporate Innovation: Evidence from Sibling-Chairpersons in China

We examine the impact of family-based human capital stemming from a chairperson’s having siblings vis-à-vis not having siblings on corporate innovation in Chinese family firms. Using hand-collected data, we document that when a firm has a sibling-chairperson, it holds more patents, receives more total citations to its patents, and has greater innovation efficiency and innovation quality than an otherwise equivalent firm with a chairperson having no siblings. The results are economically significant and robust to a battery of robustness checks. Specifically, the findings remain intact after using China’s one-child policy as an exogenous shock to apply a regression discontinuity research design to mitigate endogeneity. Additional analyses suggest that the mechanisms behind the impact of siblings on innovation are consistent with family-based human capital embedded in the sibling relationships such as competition, knowledge spillover, and family firm succession effect among siblings. Furthermore, we show that sibling comanagement and sibling gender diversity matter in corporate innovation. In addition, sibling effect enhances corporate investment efficiency, stock returns, and merger and acquisition performance. Overall, family-based human capital from siblings positively contributes to corporate innovation. This paper was accepted by Victoria Ivashina, finance. Funding: The authors acknowledge financial support from the National Natural Science Foundation of China [Grants 72225005 and 72202249] and the China Postdoctoral Science Foundation [Grant 2022M713658]. Supplemental Material: Data are available at https://doi.org/10.1287/mnsc.2023.4965 .

Tourism live streaming: uncovering the effects of responsiveness and knowledge spillover on travelling intentions

PropósitoEn las retransmisiones turísticas en directo (TLS), los organizadores se esfuerzan por captar la atención de los espectadores respondiendo de forma rápida a sus peticiones y aportando conocimientos relacionados con el turismo. Sin embargo, la eficacia de estas prácticas en el contexto de la retransmisión turística en directo sigue sin estar clara. Por consiguiente, este estudio, basado en la teoría del flujo, trata de descubrir los efectos de la capacidad de respuesta y la difusión de conocimientos en la intención de viajar de los espectadores.Diseño/metodología/enfoqueSe recogieron 319 cuestionarios válidos para examinar el modelo propuesto. Seguidamente, se aplicó la técnica de ecuaciones estructurales con mínimos cuadrados parciales (PLS-SEM) mediante el software SmartPLS para analizar los datos de la encuesta.ResultadosSe concluye que la capacidad de respuesta mejoraría la experiencia de flujo de los espectadores y el apego al destino, fomentando su intención de viajar. Además, se comprueba que la difusión de conocimientos fortalece la relación entre (1) la capacidad de respuesta y la intención de viajar y (2) la capacidad de respuesta y la experiencia de flujo.Originalidad/valorLa presente investigación amplía el enfoque de los estudios existentes en la investigación turística al aproximar los efectos de la capacidad de respuesta y la difusión de conocimientos sobre la intención de viajar de los espectadores en el contexto de retransmisiones turísticas en directo. Desde el punto de vista práctico, los resultados aportan ideas para que los streamers empleen estrategias de interacción apropiadas con los espectadores, proporcionándoles respuestas instantáneas y transmitiéndoles conocimientos relacionados con el turismo.

How Do High-Speed Railways Spur Innovation?

How does transport infrastructure spur innovation? This article examines the knowledge spillover effects of the construction of high-speed railways (HSR) in China. Using a database listing patent application information and Chinese city samples over the period 2005–2015, we find that the connection to HSR networks significantly increases the number of patents at the city level. Moreover, our results show that more collaborative or radical innovations and those operating in technologically complex industries benefit more from HSR. Our findings extend prior work on transport infrastructure and the literature on the geography of innovation and provide a comprehensive understanding of how various innovation outcomes benefit in different ways from reduced travel costs.