Please use this identifier to cite or link to this item: http://hdl.handle.net/10419/82640
Authors: 
Schild, Christopher-Johannes
Year of Publication: 
Aug-2013
Series/Report no.: 
IWQW Discussion Paper Series 02/2012
Abstract: 
For a cross-section of 123 European regions, we find evidence for a positive effect of generalized trust on regional innovation activity. We aim to identify causal effects by using instrumental variables from climate and soil data, drawing from recent literature on the effects of climate on historic trust levels. The popular explanation for spatial clustering of innovation by interregional knowledge spillovers is also tested. It is found that spatial clustering of innovation activity can be better explained by a positive influence of trust on innovation and spatial clustering of trust.
Subjects: 
Social Capital
Trust
Innovation
Regional Economics
Europe
JEL: 
O31
R11
R12
Z13
Document Type: 
Working Paper

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