Fueling Innovation with Production: The Effects of Industry Structure on Colocation

  Sylvain REMY, UMR 8504 Géographie-cités, France

Recent ‘colocation’ scholarship argues that deindustrialization undermines innovation. However, established innovation scholarship contends that industrialized regions tend to innovate less. This paradox is addressed by considering the role of industry structure and knowledge flows in colocating and separating innovation and production, locally and globally. The subregional dispersion of innovation is consequently proposed as an indicator of regional colocation. A spatio-temporal analysis of innovation and science in large-firm dominated, deindustrialized, and highly innovative Seoul, Korea over 25 years finds a substantial increase in colocation thanks to new firms and sets a benchmark for other deindustrialized economies.

Keywords: innovation|production|knowledge spillovers|industry structure|Korea

A104895SR