Recent attention to innovation as the core of a knowledge-based economy has resulted in an array of studies and reports that seek to measure states' relative ranks as they advance their economic agendas. This study improves on state performance measurement by distinguishing innovation capacity from innovation outcomes by examining change over a 20-year period with consistent measures and by empirically grouping measures into core resource categories using factor analysis. Factor analysis is used to generate new measures of innovation capacity, and the efficacy of these new measures is tested using pooled cross-sectional time-series analysis to examine their effects on state patent generation. The findings indicate moderate to strong impacts of the innovation capacity variables on patent generation; the results provide a new grounded metric for examining state capacity for innovation and state financial capacity for commercialization over time.
Arora, A., Florida, R., Gates, G., & Kamlet, M. (2000). Human capital, quality of place, and location . Unpublished manuscript.
2.
Beck, N., & Katz, J.N. (1995). What to do (and not to do) with time-series cross-section data. The American Political Science Review, 89(3), 634-647.
3.
Bowman, A. O'M., & Kearney, R.C. (1988). Dimensions of state government capability. Western Political Quarterly, 41(2), 341-362.
4.
Clinton, J., Doron, S., James, K., & Warren, J. (2002). Invented here: The 2002 Southern Innovation Index . Research Triangle Park, NC: Southern Growth Policies Board.
5.
Corporation for Enterprise Development. (2002 ). 2002 development report card for the states. Retrieved August 26, 2003, from http://drc.cfed.org/grades/honorroll.html
6.
Cortright, J., & Mayer, H. (2004). Increasingly rank: The use and misuse of rankings in economic development. Economic Development Quarterly, 18(1), 34-39.
7.
DeVol, R., Koepp, R., & Ki, J. (2004). State technology & science index: Enduring lessons for the intangible economy. Santa Monica, CA: The Milken Institute.
8.
Feldman, M. (2001). The entrepreneurial event revisited: Firm formation in a regional context. Industrial and Corporate Change, 10(4), 861-891.
9.
Feldman, M. (2002). Government R&D subsidy, economic incentives and knowledge spillovers. Unpublished research paper, University of Toronto, RotmanSchool of Management.
10.
Feldman, M., & Desrochers, P. (2004). Truth for its own sake: Academic culture and technology transfer at Johns Hopkins University. Minerva, 42, 105-126.
11.
Feldman, M., & Francis, J. (2004). Homegrown solutions: Fostering cluster formation . Economic Development Quarterly, 18(2), 127-137.
12.
Feller, I. (2004). Virtuous and vicious cycles in the contributions of public research universities to state economic development objectives. Economic Development Quarterly, 18(2), 138-150.
13.
Freshwater, D. (2003). Measuring the entrepreneurial performance of Kentucky: 2002. Frankfort: Kentucky Office of the New Economy (ONE).
14.
Goetz, S., & Freshwater, D. (2001). State-level determinants of entrepreneurship and a preliminary measure of entrepreneurial climate. Economic Development Quarterly, 15(1), 58-70.
15.
Hauger, J.S. (2004). From best science toward economic development: The evolution of NSF's Experimental Program to Stimulate Competitive Research (EPSCoR). Economic Development Quarterly, 18(2), 97-112.
16.
Hecker, D. (1999, June). High-tech employment: A broader view. Monthly Labor Review, 122(6), 19-28. Washington, DC: Bureau of Labor Statistics.
17.
Huggins, R. (2003). Creating a UK competitiveness index: Regional and local benchmarking. Regional Studies, 37(1), 89-96.
18.
Milken Institute. (2001). Knowledge-based economy index. Retrieved August 26, 2003, from http://www.milkeninstitute.org/research/research.taf?cat=indexes&function=detail&ID=19&type=NEI
19.
National Science Foundation. (2005a). NSF survey of doctorates/doctorate records file. Retrieved March 3, 2005, from http://webcaspar.nsf.gov
20.
National Science Foundation. (2005b). NSF survey of federal S&E support to universities, colleges, and nonprofit institutions. Retrieved March 3, 2005, from http://webcaspar.nsf.gov
21.
National Science Foundation. (2005c). NSF survey of R&D expenditures at universities & colleges . Retrieved March 3, 2005, from http://webcaspar.nsf.gov
22.
National Science Foundation. (2005d). NSF-NIH survey of graduate students & postdoctorates in S&E . Retrieved March 3, 2005, from http://webcaspar.nsf.gov
23.
Porter, M.E. (1990). The competitive advantage of nations. Harvard Business Review, 68(2), 73-89.
24.
Porter, M.E. (2002). Economic profiles of the fifty U.S. states and the District of Columbia. Prepared for theNational Governors Association. Boston: The Institute for Strategy and Competitiveness.
Postsecondary Education Opportunity. (2005). Retrieved March 3, 2005, from http://www.postsecondary.org/archives/Reports/Spreadsheets/EconoWelfare.htm
27.
Progressive Policy Institute. (1999). The state new economy index. Washington, DC: Author.
28.
Progressive Policy Institute. (2002). The 2002 state new economy index. Retrieved August 26, 2003 , from http://www.neweconomyindex.org/states/2002/index.html
29.
Seninger, S.P. (1985). Employment cycles and progress innovation in regional structural change. Journal of Regional Science, 25(2), 259-272.
30.
Stephan, P.E., Sumell, A.J., Black, G.C., & Adams, J.D. (2004). Doctoral education and economic development: The flow of new Ph.D.s to industry. Economic Development Quarterly , 18(2), 151-167.
31.
Thomson Venture Economics. (2004). National Venture Capital Association yearbook 2004. New York: Author.
32.
U.S. Bureau of Economic Analysis. (2005a). National economic accounts. Washington, DC: Author. Retrieved March 3, 2005, from http://www.bea.gov/bea/dn/nipaweb/TableView.asp#Mid
33.
U.S. Bureau of Economic Analysis. (2005b). Regional economic accounts. Washington, DC: Author. Retrieved March 3, 2005, from http://www.bea.gov/bea/regional/spi/default.cfm
34.
U.S. Department of Education, National Center for Education Statistics. (2002, September). Integrated postsecondary education data system (IPEDS). Washington, DC: Author.
35.
U.S. Small Business Administration. (2005a). SBIR and STTR programs and awards. Washington, DC: Author. Retrieved March 3, 2005, from http://www.sba.gov/sbir/indexsbir-sttr.html#sbir
36.
U.S. Small Business Administration. (2005b). TECH-Net. Washington, DC: Author . Retrieved March 3, 2005, from http://tech-net.sba.gov/tech-net/search.html
37.
Varga, A. (2000). Local academic knowledge transfers and the concentration of economic activity. Journal of Regional Science, 40(2), 289-309.
