Document Type

Article

Journal/Book Title/Conference

Economics Research Institute Study Paper

Volume

33

Publisher

Utah State University Department of Economics

Publication Date

2000

First Page

1

Last Page

41

Abstract

Competition in high technology is increasingly based on rapid innovation. But what conditions quicken innovation? Some suggest innovation is faster in firms with many related organizations located nearby. Others propose relationships with customers and suppliers as key factors in rapid innovation. We attempt to differentiate between these hypotheses. We find that local amenities determine firm location, but not innovation speed. Instead relationships with suppliers and customers are the main determinants of innovation speed.



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