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RESEARCH UNIVERSITIES AND REGIONAL HIGH‐TECH FIRM START‐UP AND EXIT
Author(s) -
DE SILVA DAKSHINA G.,
MCCOMB ROBERT
Publication year - 2012
Publication title -
economic inquiry
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 0.823
H-Index - 72
eISSN - 1465-7295
pISSN - 0095-2583
DOI - 10.1111/j.1465-7295.2010.00353.x
Subject(s) - hazard ratio , poisson distribution , hazard , economics , institution , proportional hazards model , econometrics , high tech , estimation , demographic economics , business , statistics , political science , management , mathematics , confidence interval , chemistry , organic chemistry , law
If localized knowledge spillovers are present in the university setting, higher rates of both start‐up and/or survival would be observed in areas that are geographically proximate to the university. Using a detailed industry data set for Texas for 1999:3–2005:2, we analyze start‐up and exit rates for high‐tech firms. Based on a Poisson quasi‐maximum likelihood estimation, we find evidence that the level of R&D and proximity of a research institution positively affects the likelihood of technology start‐ups. However, using both the Cox proportional hazards model and Kaplan–Meier approach, our results suggest that geographic proximity to knowledge centers does not reduce hazard rates. ( JEL R12, R53, O18)