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The Knowledge Spillover Theory of Entrepreneurship and Foreign Direct Investment
Zoltan J. Acs George Mason University - School of Public Policy David J. Brooksbank University of Glamorgan Colm O'Gorman University College Dublin (UCD) David Pickernell University of Glamorgan Siri A. Terjesen Indiana University Bloomington - Kelley School of Business; Queensland University of Technology - Brisbane Graduate School of Business September 12, 2007 Jena Economic Research Paper No. 2007-059 Abstract: We explore if the Knowledge Spillover Theory of Entrepreneurship, applied to FDI, provides at least a partial explanation for the greater emergence of recent knowledge-based entrepreneurship in Ireland compared with Wales. In order to examine how FDI and entrepreneurship policy in these two regions might have influenced the levels of knowledge-based entrepreneurship, we outline FDI and entrepreneurship policies for Wales and Ireland and key measures of knowledge creation, and evaluate the extent and nature of FDI activity and its relationship with entrepreneurship in general and knowledge-based entrepreneurship in particular. Implications include possible policy directions for countries that are characterized by weak knowledge-creating institutions yet wish to encourage knowledge-based entrepreneurship.
Keywords: Economic Development, Entrepreneurship, Foreign Direct Investment, Ireland, Knowledge Spillovers, Wales JEL Classifications: J24, L26, M13, 03 Working Paper SeriesDate posted: October 22, 2007 ; Last revised: November 29, 2009Suggested CitationContact Information
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