Agglomeration can generate gains. If it does, how does it work and how are those gains distributed across agglomerated firms? Despite the existence of an important body of research on this topic, the evidence is inconclusive. We examine the effect of localization externalities on a firm’s innovativeness.
This work applies the systemic approach to analyze the innovation process in an industrial district through the notion of the District Innovation System. We are particularly interested in the analysis of the interactions between the productive-technological and the scientific environments through the analysis of research contracts and patents. The empirical section of the paper develops a quantitative analysis of the interactions between different actors of the system included in the district.