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Department Of Applied Economics & Statistics Presentation Transcript

  • 1. REGIONAL INNOVATION SYSTEMS AS THE KEY TO GLOBAL COMPETITIVENESS: IMPLICATIONS FOR RURAL AREAS AND WORKERS
    • by
    • David Barkley and Mark S. Henry, Professors
    • and
    • Santosh Nair, Research Associate
    • Department of Applied Economics & Statistics
    • Clemson University
  • 2. The Global Economy The Knowledge Economy The High-Tech Economy The New Economy Changes in Technology Changes in Production Practices Changes in Location of Economic Activity Changes in the Demand for Labor Regional Innovation Systems
    • Research Triangle Park, (NC)
    • International Center for Automotive Research (SC)
    • Scripps Institute East Coast Facility (FL)
    • Translational Genomics Research Institute (AZ)
    • Oregon Nanotechnology & Microtechnologies Institute
    • Stowers Institute for Medical Research (MO/KN)
  • 3. Table 1. Summary Characteristics of the “Old” and “New” Economies Information and Communication Technologies Vertically Disintegrated Firms Computer-Integrated manufacturing Separability of Activities Robotics Long Product Life Cycles Product Specialization Vertically Integrated Firms Just-In-Time Inventory Replacement Assembly Line Production Small-Batch Production Runs Standardized Products Intense International Competition Large-Scale Manufacturing New Economy Rapidly Expanding Service Sector Old Economy Oligopolistic Product Markets
  • 4. Table 2. Employment Change by Industry, Metro Vs. Nonmetro, 1990-2000 Source: BEA, REIS. 22.1 22.7 20.6 17.0 State & Local -20.4 -15.4 -23.6 -23.7 Military 5.0 -9.1 -1.7 -11.6 Federal Civilian 15.7 10.9 13.5 6.9 Government 41.6 49.1 33.2 37.6 Services 31.7 32.3 34.9 22.0 Fin., Ins., and R. E. 21.9 26.7 20.8 18.6 Retail Trade 11.5 22.6 12.6 12.9 Wholesale Trade 19.4 38.1 18.3 27.0 Trans. & Pub. Utilities -5.5 .4 2.8 -4.3 Manufacturing 33.0 37.3 35.8 29.1 Construction -1.0 -.2 -3.5 1.4 Farm 17.1% 28.3% 17.6% 20.0% Total Percentage Change in Employment U. S. South Metro Nonmetro Metro Nonmetro
  • 5. Source: Berman, 2004 Table 3. Industries with the Largest Wage and Salary Employment Growth and Declines, 2002-2012 1.1 638.2 Wholesale trade .9 669.7 State and local general government, n.e.c. 3.9 669.8 Ambulatory health care services except offices of health practitioners 2.6 759.2 Educational services 1.4 1,013.7 Construction 3.3 1,228.9 Offices of health practitioners 1.5 1,337.3 Food services and drinking places 1.6 1,730.0 State and local government education 4.4 1,763.5 Employment services 1.3 2,082.0 Retail trade Percent Change Employment Change (000) Industry A. Growing Industries
  • 6. Table 3. Industries with the Largest Wage and Salary Employment Growth and Declines, 2002-2012 (cont.) Source: Berman, 2004 -2.8 -41.8 Pulp, paper and paperboard mills -6.9 -42.3 Textile and fabric finishing and fabric coating mills -.7 -54.3 Private households -1.3 -55.0 Navigational, measuring, electromedical, and control instruments manufacturing -6.9 -67.0 Fabric mills -3.1 -67.7 Computer and peripheral equipment manufacturing -1.6 -79.4 Semiconductor and other electronic component manufacturing -1.9 -82.6 Aerospace product and parts manufacturing -12.2 -204.7 Cut and sew apparel manufacturing -1.8 -323.6 Agricultural products Percent Change Employment Change (000) Industry B. Declining Industries
  • 7. Table 4. Average Wages in Expanding and Contracting Industries, 2002-2003 -15% 35,352 29,979 Florida -23% 44,481 34,418 Georgia -16% 36,986 31,012 South Carolina -11% 38,041 33,926 North Carolina -33% 33,832 22,805 West Virginia -37% 46,323 29,375 Virginia -32% 62,721 42,413 Dist. Of Columbia -32% 48,008 32,535 Maryland -43% $49,609 $28,407 Delaware South Atlantic Difference Contracting Industries Expanding Industries
  • 8. Table 4. Average Wages in Expanding and Contracting Industries, 2002-2003 (cont.) -22% $37,371 $29,035 East South Central Kentucky -14% 36,881 31.844 Tennessee -22% 36,577 28,584 Alabama -13% 30,638 26,764 Mississippi Difference Contracting Industries Expanding Industries
  • 9. Table 4. Average Wages in Expanding and Contracting Industries, 2002-2003 (cont.) Source: Economic Policy Institute, 2004. -21% $44,570 $35,410 United States -35% 48,751 31,663 Texas -30% 35,917 25,259 Oklahoma -33% 39,550 26,408 Louisiana -14% 31,869 27,256 Arkansas West South Central Difference Contracting Industries Expanding Industries
  • 10. Table 5. Employment Distribution and Change by Occupation, South and U.S., 1999-2002 5.6 5.3 13.1 15.7 Professionals 2.8 -.9 5.6 6.1 Technicians -4.0 -.8 13.0 12.2 Sales Workers .1 -2.7 13.6 14.4 Office and Clerical Workers -4.7 -6.8 8.9 8.0 Craft Workers -12.7 -10.7 16.0 13.9 Operatives -2.1 -3.2 8.7 7.9 Laborers 4.9 6.0 11.1 11.3 Service Workers -1.5 -1.1 100.0 100.0 Total Source: The U.S. Equal Employment Opportunity Commission. 2.1% 1.7% 10.0% 10.5% Officials and Managers Shares (1999) % Change 1999-2002 Occupation U. S. South U. S. South
  • 11. Table 6. Occupations with Largest Job Decline, United States, 2002-2012 Source: Hecker, 2004 Long-term on-the-job training 3 1. Farmers and ranchers Moderate-term on-the-job training 4 2. Sewing machine operators Moderate-term on-the-job training 3 3. Word processors and typists Short-term on-the-job training 4 4. Stock clerks and order fillers Moderate-term on-the-job training 3 5. Secretaries, except legal, medical, and executive Short-term on-the-job training 3 6. Electrical and electronic equipment Moderate-term on-the-job training 2 7. Computer operators Moderate-term on-the-job training Short-term on-the-job training Short-term on-the-job training 2 2 2 8. Telephone operators 9. Postal service mail sorters, processors, and processing machine operators 10. Loan interviewers and clients Typical Source of Education or Training Quartile Rank by 2002 Median Income Occupation
  • 12. Table 6. Occupations with Largest Job Decline, United States, 2002-2012 (cont.) Source: Hecker, 2004 Moderate-term on-the-job raining 3 11. Data entry keyers Short-term on-the-job training 4 12. Telemarketers Long-term on-the-job training 3 13. Textile knitting and weaving machine setters, operators, and lenders Moderate-term on-the-job training 3 14. Textile winding, twisting, and drawing out machine setters, operators, and lenders Moderate-term on-the-job training 3 15. Team assemblers Short-term on-the-job training 3 16. Order clerks Short-term on-the-job training 3 17. Door-to-door sales workers, news and and street vendors, and retail workers Postsecondary vocational award 3 18. Travel agents Moderate-term on-the-job training 2 19. Brokerage clerks Moderate-term on-the-job training 2 20. Eligibility interviewers, government programs Typical Source of Education or Training Quartile Rank By 2002 Median Income Occupation
  • 13. Table 7. Occupations with Largest Job Growth, United States, 2002-2012 Source: Hecker, 2004 Short-term on-the-job training 3 10. Nursing aids, orderlies, and attendants Short-term on-the-job training 4 9. Waiters and waitresses Bachelor’s or higher degree, plus work experience 1 8. General and operations managers Short-term on-the-job training 4 7. Janitors, and cleaners, except maids and housekeeping cleaners Short-term on-the-job training 4 6. Cashiers, except gaming Short-term on-the-job training 4 5. Combined tool preparation and serving workers, including fast food Moderate-term on-the-job training 3 4. Customer service representatives Short-term on-the-job training 4 3. Retail salespersons Doctoral degree 1 2. Postsecondary teachers Associate degree 1 1. Registered nurses Typical Source Of Education Or Training Quartile Rank By 2002 Median Earnings Occupation
  • 14. Table 7. Occupations with Largest Job Growth, United States, 2002-2012 (cont). Source: Hecker, 2004 Moderate-term on-the-job training 2 11. Truck drivers, heavy and tractor-trailer Short-term on-the-job training 3 12. Receptionists and Information clerks Short-term on-the-job training 4 13. Security Guards Short-term on-the-job training 3 14. Office clerks, general Short-term on-the-job training 4 15. Teacher assistants Moderate-term on-the-job training 1
    • Sales representatives, wholesale and
    • manufacturing, except technical and scientific products
    Short-term on-the-job training 4 17. Home health aides Short-term on-the-job training 4 18. Personal and home care aides Short-term on-the-job training 3 19. Truck drivers, light or delivery services Short-term on-the-job training 3
    • Landscaping and groundskeeping workers
    Typical Source of Education Or Training Quartile Rank by 2002 Median Earnings Occupation
  • 15. Table 8. Fastest Growing Occupations, United States, 2002-2012 Source: Hecker, 2004 Associate degree 2 10. Physical therapist assistants Associate degree Short-term on-the-job training Bachelor’s degree Bachelor’s degree 3 3 1 1 6. Medical records and health information technicians 7. Physical therapist aides 8. Computer software engineers, applications 9. Computer software engineers, systems software Short-term on-the-job training 4 5. Home health aides Moderate-term on-the-job training 3 4. Social and human service assistants Bachelor’s degree 1 3. Physician assistants Bachelor’s degree 1 2. Network systems and data communications analysts Moderate-term on-the-job training 3 1. Medical assistants Typical Source of Education or Training Quartile Rank by 2002 Median Income Occupation
  • 16. Table 8. Fastest Growing Occupations, United States, 2002-2012 (cont.) Source: Hecker, 2004 Bachelor’s degree 1 20. Computer systems analysts Short-term on-the-job training Moderate-term on-the-job training Short-term on-the-job training Work experience in a related occupation 3 3 4 2 16. Occupational therapist aides 17. Dental assistants 18. Personal and home care aides 19. Self-enrichment education teachers Associate degree 1 15. Dental hygienists Moderate-term on-the-job training 2 14. Hazardous materials removal workers Associate degree 3 13. Veterinary technologists and technicians Bachelor’s degree 1 12. Database administrators Postsecondary vocational award 3 11. Fitness trainers and aerobics instructors Typical Source of Education or Training Quartile Rank by 2002 Median Income Occupation
  • 17. Table 9. Elements of Regional Systems of Innovation (Acs, 2002). A. Inter-firm relationships 1. Network economies 2. Clusters 3. Supplier chains as source of innovation 4. Cooperation and trust B. The knowledge infrastructure 1. University research 2. Focus new product R&D 3. External sources of knowledge 4. Local R&D spillovers C. Community and the public 1. Emphasis on regional level sector 2. Public-private partnerships 3. Community, cooperation and trust
  • 18. D. Internal organization of the firm 1. Organic organization 2. Continuous innovation 3. Matrix organizations E. Institutions of the financial sector 1. Venture capital 2. Informal financial sector F. Physical and communication 1. Global orientation infrastructure 2. Electronic data exchange G. Firm strategy, structure and rivalry 1. Easy to start new firms 2. Inexpensive access to knowledge 3. Entrepreneurship is crucial Table 9. Elements of Regional Systems of Innovation (Acs, 2002). (cont.)
  • 19. Table 10. Examples of Innovation Measures Used in Previous Research on Innovative Activity or Capacity
    • A. Innovative Activity or Capacity
      • Patents
      • Academic R & D Expenditures
      • Industrial R & D Expenditures
      • Federal R & D Expenditures
      • Innovation Counts
      • Small Business Innovation Research (SBIR) Grants
      • Undergraduate/Graduate Degrees in Science and Engineering
      • Professional Employment in High Tech Industries
  • 20. Table 10. Examples of Innovation Measures Used in Previous Research on Innovative Activity or Capacity (Cont.)
    • B. Human Capital or Labor Quality
      • High School Graduates as % of Population
      • College Graduates as % of Population
      • Technical School Graduates as % of Population
      • Working Age Population
      • Managerial, Professional, and Technical Employment
      • Online Population
      • Computer Availability and Use in Schools
  • 21. Table 10. Examples of Innovation Measures Used in Previous Research on Innovative Activity or Capacity (Cont.)
    • C. Entrepreneurial Environment
      • Venture Capital Investments
      • Initial Public Offerings
      • New Publicly Traded Companies
      • Employment in “Gazelle” Firms
      • New Business Start-Ups
      • Job Churning (product of business start-ups and business
      • failures)
      • Small Business Employment
      • Employment/Establishments in Business Services
      • Diversity of Population
  • 22. Table 10. Continued
    • D. Agglomeration Economies
      • Employment/Establishments in High Technology Industries
      • Inc. 500 Companies
      • Population Density
      • Density of Establishments
      • Export Activity
      • Manufacturing Employment Growth Rate
      • Importance of Regional Economy to U.S. Economy
    E. Competitiveness of Local Economy
      • Sources: Huovari (2001), Hill (1998), Catalytix (2003), Porter (2001), SGBP (2001,
      • 2002), Atkinson and Gottlieb (2001), Gardiner (2003), Markusen (2001), Acs
      • (2002), Florida (2002).
  • 23. National State Technology & Science Index Overall Index, 2004 Rank Rank State (2004) State (2004) Massachusetts 1 New Mexico 14 California 2 New York 15 Colorado 3 Pennsylvania 16 Maryland 4 Arizona 17 Virginia 5 Georgia 18 Washington 6 Oregon 19 New Jersey 7 North Carolina 20 Minnesota 8 Illinois 21 Utah 9 Vermont 22 Connecticut 10 Texas 23 Rhode Island 11 Ohio 24 New Hampshire 12 Michigan 25 Delaware 13
  • 24. National State Technology & Science Index Overall Index, 2004 (cont.) Rank Rank State (2004) State (2004) Kansas 26 Hawaii 39 Wisconsin 27 Alaska 40 Nebraska 28 Wyoming 41 Indiana 29 Louisiana 42 Idaho 30 Nevada 43 Missouri 31 South Carolina 44 Florida 32 North Dakota 45 Maine 33 West Virginia 46 Tennessee 34 South Dakota 47 Oklahoma 35 Kentucky 48 Alabama 36 Arkansas 49 Iowa 37 Mississippi 50 Montana 38 Source: DeVol and Kuepp (2004).
  • 25. Table 11. Selected Measures of Metropolitan Innovative Environment A. Innovative Activity PATENT: Number of patents issued per 1000 population (USPTO, 1990-99) ARD: Academic R&D expenditures per 1000 population (NSF, 1998-2000) SED: Doctorates awarded in science and engineering per 1000 population (NSF, 1998-2000) GSS Graduate science and engineering students per 1000 population (NS, 1998-2000) ETEC: Percentage of employment in technical professions – computer science; engineering except civil; natural, physical, and social science (BLS, 2000)
  • 26. Table 11. Selected Measures of Metropolitan Innovative Environment (cont.) B. Labor Force Quality PHSG: Percentage of adult population (25+) that are high school graduates (CBP, 2000) PCG: Percentage of adult population (25+) that are college graduates (CBP, 2000) PWP: Percentage of population (age 16-64) that are employed (Census, 2000)
  • 27. Table 11. Selected Measures of Metropolitan Innovative Environment (cont.) C. Entrepreneurial Environment PCEST: Percentage change in number of establishments (CBP, 1990-2000) PEL2O: Percentage of establishments with fewer than 20 employees (BLS, 2000) INC500: Number of Inc 500 companies per 100,000 population ( www.inc500.com , 2000) VCAP: Venture capital investments ($) per capita (Price Waterhouse Coopers, 2000) EMB: Percentage of employment in managerial and business professions (BLS, 2000)
  • 28. Table 11. Selected Measures of Metropolitan Innovative Environment (cont.) D. Agglomeration Economics HTEMP: Percentage of employment in high-technology industries (CBP, 2000) HTEST: Percentage of establishments in high technology industries (CBP, 2000) ITEMP: Percentage of employment in information technology industries (CBP, 2000) ITEST: Percentage of establishments in information technology industries (CBP, 2000) E. Competitiveness in Global Economy EXPORTS: Exports as a percent of gross metropolitan product, metro areas ranked in quantiles (DOC, 1999)
  • 29. Table 12. Metropolitan Areas in Regional Innovation Systems Cluster Groupings
    • Outliers (4)
    • Atlanta, GA CMSA
    • Austin, TX MSA
    • Raleigh, Durham, Chapel Hill, NC
    • CMSA
    • Baton Rouge, LA MSA
    • High (12)
    • Dallas-Fort Worth-Arlington, TX CMSA
    • Houston-Galveston-Brazoria, TX CMSA
    • Huntsville, AL MSA
    • Melbourne-Titusville-Palm Bay, FL MSA
    • Orlando, FL MSA
    • Pensacola, FL MSA
    • Richmond-Petersburg, VA MSA
    • San Antonio, TX MSA
    • Sarasota-Bradenton, FL MSA
    • Tampa-St. Petersbusrg-Clearwater, FL
    • MSA
    • Tulsa, OK MSA
    • West Palm Beach-Boca Raton, FL MSA
  • 30. Table 12. Metropolitan Areas in Regional Innovation Systems Cluster Groupings (cont.)
    • College Towns (5)
    • Athens, GA MSA
    • Bryan-College Station, TX MSA
    • Charlottesville, VA MSA
    • Gainesville, FL MSA
    • Tallahassee, FL MSA
    • Medium (20)
    • Augusta-Aiken, GA-SC MSA
    • Birmingham, AL MSA
    • Charleston-North Charleston, SC MSA
    • Charlotte-Gastonia-Rock Hill, NC-SC MSA
    • Cincinnati-Hamilton, OH-KY-IN MSA
    • Columbia, SC MSA
    • Greensboro--Winston-Salem–High Point,
    • NC MSA
    • Greenville-Spartanburg-Anderson, SC MSA
    • Jackson, MS MSA
    • Jacksonville, FL MSA
    • Knoxville, TN MSA
    • Lexington, KY-IN MSA
    • Memphis, TN-AR-MS MSA
    • Nashville, TN MSA
    • New Orleans, LA MSA
    • Norfolk-Virginia Beach-Newport News,
    • VA-NC MSA
    • Oklahoma City, OK MSA
    • Roanoke, VA MSA
    • Wilmington, NC MSA
  • 31. Table 12. Metropolitan Areas in Regional Innovation Systems Cluster Groupings (cont.)
    • Below Average (47)
    • Abilene, TX MSA
    • Albany, GA MSA
    • Alexandria, LA MSA
    • Amarillo, TX MSA
    • Ashville, NC MSA
    • Auburn-Opelika, AL MSA
    • Beaumont-Port Arthur, TX MSA
    • Biloxi-Gulfport-Pascagoula, MS MSA
    • Chattanooga, TN-GA MSA
    • Clarksville-Hopkinsville, TN-KY MSA
    • Columbus, GA MSA
    • Corpus Christi, TX MSA
    • Decatur, AL MSA
    • Dothan, AL MSA
    • Enid, OK MSA
    • Evansville-Henderson, IN-KY MSA
    • Fayetteville, NC MSA
    • Fayetteville-Springdale-Rogers, AR MSA
    • Florence, SC MSA
    Fort Smith, AR-OK MSA Fort Walton Beach, FL MSA Goldsboro, NC MSA Greenville, NC MSA Hattiesburg, MS MSA Hickory-Morganton-Lenoir, NC MSA Jackson, TN MSA Jacksonville, NC MSA Jonesboro, AR MSA Killeen-Temple, TX MSA Lafayette, LA MSA Lake Charles, LA MSA Lakeland-Winter Haven, FL MSA Lawton, OK MSA Little Rock-North Little Rock, AR MSA Long View-Marshall, TX MSA Lubbock, TX MSA Lynchburg, VA MSA
  • 32. Table 12. Metropolitan Areas in Regional Innovation Systems Cluster Groupings (cont.)
    • Below Average (47) (cont.)
    • Macon, GA MSA
    • Mobile, AL MSA
    • Monroe, LA MSA
    • Montgomery, AL MSA
    • Myrtle Beach, SC MSA
    • Odessa-Midland, TX MSA
    • Owensboro, KY MSA
    • Panama City, FL MSA
    • Pine Bluff, AR MSA
    • Rocky Mount, NC MSA
    • San Angelo, TX MSA
    • Savannah, GA MSA
    • Sherman-Denison, TX MSA
    • Shreveport-Bossier City, LA MSA
    • Sumter, SC MSA
    • Tuscaloosa, AL MSA
    • Tyler, TX MSA
    • Victoria, TX MSA
    • Waco, TX MSA
    • Wichita Falls, TX MSA
    6. Low (18) Anniston, AL MSA Brownsville-Harlingen-San Benito, TX MSA Danville, VA MSA Daytona Beach, FL MSA El Paso, TX MSA Florence, AL MSA Fort Myers-Cape Coral, FL MSA Fort Pierce-Port St. Lucie, FL MSA Gadsden, AL MSA Houma, LA MSA Huntington-Ashland, WY-KY-OH MSA Johnson City-Kingsport-Bristol, TN-VA MSA Laredo, TX MSA McAllen-Edinburg-Mission, TX MSA Naples, FL MSA Ocala, FL MSA Punta Gorda, FL MSA Texarkana, TX-Texarkana, AR MSA
  • 33. Map 1: Persistent Poverty and RIS Counties, Southeastern United States, 2000
  • 34. Map 2: Persistent Poverty and RIS (Including Medium) Counties, Southeastern United States, 2000
  • 35. 1.89 1.49 3.40 1.20 3.17 3.75 EXPORT: Export Rank (1-4) 5. Competitiveness 4.76 5.56 6.75 9.14 8.73 9.55 HTEST: High Tech Establishments 3.25 5.10 6.60 4.53 7.46 11.40 HTEMP: High Tech Employment 4. Agglomeration Economics 4.39 5.49 7.06 7.48 7.33 12.67 EMB: Emp. In Mng. And Bus. Prof. (%) 4.63 4.44 5.88 5.83 7.26 7.81 73EST: Business Services Estab. (%) 5.52 5.51 7.72 5.92 11.16 9.67 73EMP: Business Services Emp. (%) 0.00 7.57 44.13 122.62 281.53 386.71 VCAP: Venture Capital ($) 0.00 0.05 1.45 0.00 0.25 8.25 INC500: Inc. 500 Companies (%) 87.71 85.08 84.06 86.00 85.86 84.33 PEL20: Establishments < 20 emp. (%) 33.19 13.95 22.54 19.90 22.41 39.65 PCEST: Change in Establishments 3. Entrepreneurial Environment 54.40 63.29 65.66 64.82 62.42 69.28 PWP: Working Population 16.10 19.23 24.47 37.32 25.38 33.13 PCG: College Graduates 71.96 78.48 81.09 83.88 82.09 84.03 PHSG: High School Graduates 2. Labor Force Quality 1.03 1.65 2.86 3.29 4.02 7.25 ETEC: Employment in Tech. Prof. 2.57 51.52 86.79 1357.0 6 47.59 482.34 ARD: Academic R&D .07 .08 .14 .24 .20 .58 PATENT: Patents issued 1. Innovative Activity Indicators Outliers High College Towns Medium Average Low   Table 13. Mean Values for Indicators of Innovation by Cluster Grouping
  • 36. Table 14. Changes in Aggregate Economic Activity by Cluster Groupings, 1990-2000 a Number of metro or nonmetro counties in the cluster grouping. 65.44 63.84 73.53 Low (33) 73.65 73.80 76.63 Below Average (106) 81.20 93.16 84.86 Medium (113) 90.93 98.74 91.23 College Towns (13) 98.87 99.92 96.26 High (58)   130.82 149.24 128.27 Outliers (32) a   A. Metro Counties Change in Change in Change in Personal Earnings by Earnings by Cluster Grouping Income Place of Work Place of Residence (%) (%) (%)
  • 37. Table 14. Changes in Aggregate Economic Activity by Cluster Groupings, 1990-2000 (cont.) a Number of metro or nonmetro counties in the cluster grouping. 17.87 24.27 Low (33) 14.69 26.88 Below Average (106) 20.27 34.51 Medium (113) 31.74 42.61 College Towns (13) 28.25 42.20 High (58)   44.27 62.26 Outliers (32) a   A. Metro Counties Change in Change in Cluster Grouping Employment Population (%) (%)
  • 38. Table 14. Changes in Aggregate Economic Activity by Cluster Groupings, 1990-2000 (cont.) B . Monmetro Counties Outliers (31) 87.28 81.02 89.38 High (40) 78.54 73.43 80.05 College Towns (24) 79.69 70.61 76.45 Medium (136) 72.84 71.88 66.89 Below Average (315) 60.05 52.99 53.77 Low (42) 68.31 61.73 61.65 Rural LMAs (349) 65.16 59.85 59.29 Change in Change in Change in Personal Earnings by Earnings by Cluster Grouping Income Place of Work Place of Residence (%) (%) (%)
  • 39. Table 14. Changes in Aggregate Economic Activity by Cluster Groupings, 1990-2000 (cont.) B. Monmetro Counties Outliers (31) 32.74 23.00 High (40) 31.27 22.01 College Towns (24) 25.29 22.22 Medium (136) 21.33 12.25 Below Average (315) 15.89 7.06 Low (42) 19.55 12.83 Rural LMAs (349) 17.88 10.39 Change in Change in Cluster Grouping Employment Population (%) (%)
  • 40. Table 15. Changes in Per Capita Economic Activity by Cluster Groupings, 1990-2000 A. Metro Counties Outliers (32) a 51.89 96.20 High (58) 40.25 69.04 College Towns (13) 39.10 62.29 Medium (113) 42.34 54.02 Below Average (106) 37.10 47.60 Low (33) 31.13 40.62 a Number of metro or nonmetro counties in the cluster grouping Change in Earnings Change in Earnings Per Worker by Per Employed Resident Cluster Grouping Place of Work by Place of Residence (%) (%)
  • 41. Table 15. Changes in Per Capita Economic Activity by Cluster Groupings, 1990-2000 (cont.) A. Metro Counties Outliers (32) a 58.20 -9.81 High (58) 51.29 -5.43 College Towns (13) 45.88 -17.01 Medium (113) 53.26 -12.07 Below Average (106) 53.74 -11.41 Low (33) 47.09 -12.91 a Number of metro or nonmetro counties in the cluster grouping. Change in Change in Per Capita Share of Population Cluster Grouping Personal Income in Poverty (%) (%)
  • 42. B. Monmetro Counties Outliers (31) 37.16 60.97 High (40) 31.88 53.04 College Towns (24) 36.47 49.98 Medium (136) 39.87 41.86 Below Average (315) 31.90 30.71 Low (42) 34.92 37.41 Rural LMAs (349) 35.63 35.79 Table 15. Changes in Per Capita Economic Activity by Cluster Groupings, 1990-2000 (cont.) Change in Earnings Change in Earnings Per Worker by Per Employed Resident Cluster Grouping Place of Work by Place of Residence (%) (%)
  • 43. B. Monmetro Counties Outliers (31) 52.55 -13.70 High (40) 44.10 -8.05 College Towns (24) 47.29 -14.37 Medium (136) 53.32 -16.40 Below Average (315) 48.77 -12.19 Low (42) 49.97 -7.52 Rural LMAs (349) 49.96 -13.97 Table 15. Changes in Per Capita Economic Activity by Cluster Groupings, 1990-2000 (cont.) Change in Change in Per Capita Share of Population Cluster Grouping Personal Income in Poverty (%) (%)
  • 44. Table 16. Regression Results for Change in Nonmetro County Population and Employment, 1990-2000 Variable Coefficient t-value Coefficient t-value Population Equation Employment Equation 584 584 N Yes Yes State Fixed Effects 6.00 13.74 F .232 .409 R 2 .87 .030 .41 .009 Very Low -.01 -.000 -.39 -.006 Low .44 .018 1.76 .049 College Town 1.41 .046 4.12 .088 High 1.55 .060 2.79 .069 Outlier .04 .000 -.52 .000 MSA Pop Density 2.55 .184 MSA Emp Change 2.37 .127 MSA Pop Change -.98 -90.097 Emp 1990 (000, 000) -1.51 -13.340 POP 1990 (000,000) -.74 -.000 -2.01 -.06E-3 Manufacturing. Emp. 5.22 .030 4.76 .018 Tech. Occupation -1.16 -.011 -.97 -.006 High-Tech Emp -3.46 -.038 -6.43 -.047 Govt. Expenditure 3.57 .042 3.86 .029 Amenity Rank (1-7) 1.72 .016 3.46 .021 Rec. Infrastructure 1.66 .006 2.34 .006 Pupil/Teacher 1.16 .003 1.48 .003 College Grad -3.66 -.430 -3.66 -.292 Intercept
  • 45. Table 17. Regression Results for Change in Nonmetro County Earnings, 1990-2000 Variable Coefficient t-value Coefficient t-value Earnings by Place of Work Earnings by Place of Residence 584 584 N Yes Yes State Fixed Effects 12.95 7.42 F .395 .272 R 2 1.16 .039 1.10 .052 Very Low -1.10 -.025 -.86 -.027 Low 2.58 .110 1.45 .085 College Town 2.28 .076 1.26 .058 High .48 .020 .12 .007 Outlier -.25 -.000 -.55 -.000 MSA Pop Density 5.16 .204 2.96 .158 MSA Earnings Change -1.04 -5.15E-8 -1.19 -7.46E-8 Earnings, 1990 -3.28 -.16E-3 -3.57 -.24E-3 Manufacturing. Emp 4.74 .027 3.80 .031 Tech. Occupation -.90 -.009 -.04 -.000 High-Tech Emp -2.28 -.026 -1.67 -.026 Govt. Expenditure 3.86 .046 3.73 .061 Amenity Rank (1-7) 2.81 .027 1.39 .018 Rec. Infrastructure 4.75 .018 4.45 .022 Pupil/Teacher 1.53 .005 .69 .003 College Grad -4.59 -.482 -3.85 -.55 Intercept
  • 46. Table 18. Regression Results for Changes in Nonmetro County Earnings Per Worker, 1990-2000 Variable Coefficient t-value Coefficient t-value Earnings by Place of Work Earnings by Place of Residence 584 584 N Yes Yes State Fixed Effects 22.29 8.57 F .529 .302 R 2 .50 .015 .91 .027 Very Low -.31 -.006 -.74 -.015 Low 2.80 .105 1.91 .070 College Town 2.52 .074 .77 .022 High 1.06 .039 -.27 -.010 Outlier .44 .000 -.27 -.000 MSA Pop Density 3.94 .163 .84 .082 MSA Earnings Change -12.64 -.014 -7.05 -.010 Earnings, 1990 -3.58 -.15E-3 -5.04 -.21E-3 Manufacturing. Emp 3.70 .019 -.56 -.003 Tech. Occupation -.30 -.003 1.08 .009 High-Tech Emp -1.44 -.014 1.46 .014 Govt. Expenditure 1.95 .021 1.77 .018 Amenity Rank (1-7) 2.44 .021 -.38 -.003 Rec. Infrastructure 3.90 .013 4.77 .015 Pupil/Teacher 1.94 .005 .53 .001 College Grad -.41 -.042 .10 .016 Intercept
  • 47. Innovation Policies for Non-RIS Regions (Rosenfeld, 2002 and T ö dtling, 2004)
    • Industry Clusters
      • Support clusters in new industries related to existing industrial base
      • Strengthen emerging/potential clusters
      • in the region
  • 48. Innovation Policies for Non-RIS Regions (Rosenfeld, 2002 and T ö dtling, 2004) (Continued)
    • New Firms
      • P romote entrepreneurship and new firm development
      • Attract cluster-related firms
  • 49. Innovation Policies for Non-RIS Regions (Rosenfeld, 2002 and T ö dtling, 2004) (Continued)
    • Knowledge and Innovation
      • Develop cluster-specific technology centers
      • Attract branches of national research organizations
      • Build up and attract new labor skills
  • 50. Innovation Policies for Non-RIS Regions (Rosenfeld, 2002 and T ö dtling, 2004) (Continued)
    • Networks
      • Link firms to local and external knowledge providers
      • Technology transfer programs