Creative ties: the global network of local innovation

This chapter discusses two seemingly opposing forces of knowledge spread and concentration occurring at the same time. A unique and rich dataset of patent applications and scientific publications is exploited to document how knowledge is produced and shared worldwide. The production of patents and scientific publications has spread geographically to several countries, and has not kept within the traditional knowledge producing economies. A part of this geographical spread of knowledge activities is due to the setting up of “Global Innovation Networks” toward more traditional innovative countries and towards emerging economies too. Yet, despite the increasing worldwide spread of knowledge production, the same spreading process is not observed within countries. In fact, we observe some increased concentration in some areas that concentrate a large and increasing connectivity, within their own country to other hotspots, and across countries through these Global Innovation Networks. This may have important distributional consequences within countries.