Almost all industrialized countries have set up support schemes to foster private Research & Development (R&D) activities. However, only little is known on which programs are exactly applied, how much money is spent and whether such programs work in the way they were originally intended....

This paper explores the impact of industrial clusters on regional growth at level of German labour market regions within a regional convergence model. It focuses on vertically connected industrial sectors, which can emerge parallel to horizontal interconnections. Based on works of Schnabl (2000)...

Regional politicians regard the cluster concept as a key factor for promoting regional economic performance. They refer to a comprehensive set of theoretical and empirical literature which provides the clusters' positive impact on regional development. Recent studies dealing with that topic...

The paper explores the potential for inter-sectoral technology flows in industrial clusters in Germany. With the help of a product-embodied R&D flow matrix, calculated using data on input-output tables and sectoral R&D employment, we construct industrial cluster based networks of technology...

The EU Framework Programme (FP) belongs to the most important instruments promoting transnational collaborative R&D projects in Europe. Its main objective is to initiate cross-border complementarities in order to exploit knowledge resources and to conduct large scale research. Within the EU FPs...

Abstract This paper assesses firm-level effects of the single largest investment subsidy programme in Germany. The analysis considers grants allocated to firms in East German regions over the period 2007 to 2013 under the regional policy scheme Joint Task ‘Improving Regional Economic...

The ‘cluster theory’ has become one of the main concepts promoting regional competitiveness, innovation, and growth. As most studies focus on measures of concentration of one industrial branch in order to identify regional clusters, the appropriate analysis of specific vertical relations...

We use a combination of measures of spatial concentration, qualitative input-output analysis and innovation interaction matrices to identify the horizontal and vertical dimension of industrial clusters in Saxony in 2005. We describe the spatial allocation of the industrial clusters and show...

The German government provides discretionary investment grants to structurally weak regions to reduce regional disparities. We use a regression discontinuity design that exploits an exogenous discrete jump in the probability of receiving investment grants, to identify the causal effects of the...