Regional knowledge spillovers in the European Economic Area: The case of three high-tech industries

This paper investigates the impact of specialization, diversification, and competition externalities on the regional growth of employment in the high-tech industries of the European Economic Area (EEA). A dynamic panel dataset of two-digit NACE rev 1.1. industries in the EEA regions is used in this analysis. It is found that regional growth is positively related to specialization externalities, and negatively to local competition while diversification has no impact on growth.