Technology induced economic growth in the United States: Empirical testing using spatial-temporal estimation procedures

Abstract

The economies of the world have been undergoing a major technical transformation for at least the last two decades. This transformation has not unfolded uniformly with significant variation occurring at the regional and sectoral levels. The paper examines the pace and geographical patterns of technological expansion in U.S. metropolitan regions for the period 1988-1995. The objective of this paper is to examine the existence of technology related spatial linkages in selected clusters of metropolitan areas in the United States. The hypothesis being tested is that the growth of technology intensive activities in a particular region is related to levels of technology intensive activitiesin adjoining regions, in addition to other important factors like network infrastructure and human capital. A spatial-temporal explanatory model is formulated and tested to identify and measure the strength of factors responsible for technology intensive activities at the metropolitan level. (This paper is part of ongoing research on understanding the determinants of technology intensive activities in the United States