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Proximity to knowledge sources and the location of knowledge-based start-ups

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Abstract

We use detailed longitudinal data on firms, human capital and universities to study the impact of geographical proximity to knowledge sources and local absorptive capacity on the regional location of knowledge-based start-ups. Using municipalities as the regional unit of analysis, we examine the influence of the regional distribution of universities, yearly numbers of students and graduates, and workforce education on new start-up numbers. We estimate models of regional entry using zero inflated negative binomial regression. We find that local access to knowledge and human capital significantly influences entry by knowledge-based firms into regions, after controlling for other regional-level variables.

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Authors and Affiliations

  1. Department of Engineering and Management, Centre for Innovation, Technology and Policy Research IN+, Instituto Superior Técnico, Technical University of Lisbon, Lisbon, Portugal

    Rui Baptista

  2. Max Planck Institute of Economics, Jena, Germany

    Rui Baptista

  3. Centre for Innovation, Technology and Policy Research IN+, Instituto Superior Técnico, Technical University of Lisbon, Av. Rovisco Pais, 1049-001, Lisbon, Portugal

    Joana Mendonça

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  1. Rui Baptista
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Correspondence to Joana Mendonça.

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Baptista, R., Mendonça, J. Proximity to knowledge sources and the location of knowledge-based start-ups. Ann Reg Sci 45, 5–29 (2010). https://doi.org/10.1007/s00168-009-0289-4

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