During the last years more and more discussions came up about the contribution of technology-oriented and technology-intensive industries for the economic development and employment. This paper examines the foundation dynamic and the regional clustering of various technology-oriented sectors in...

In a general equilibrium product-cycle model, lower trade barriers increase Southern purchasing power, which lifts long-run growth by increasing the profit from innovation. In the short run, factors of production must be reallocated inside firms, which lowers the opportunity cost of innovation,...