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The Geography of New Technologies

Author

Listed:
  • Nicholas Bloom

    (Stanford University)

  • Tarek A. Hassan

    (Boston University)

  • Aakash Kalyani

    (Boston University)

  • Josh Lerner

    (London Business School)

  • Ahmed Tahoun

    (Harvard University)

Abstract
We identify novel technologies using textual analysis of earnings conference calls, newspapers, announcements, and patents. Our approach enables us to document the rollout of 20 new technologies across firms and labor markets in the U.S. Four stylized facts emerge from our data. First, as technologies develop, the number of new positions related to them grows, but the average education requirements and wage levels of the positions drop. Second, as technologies develop, their employment impact diffuses across the country: initially, technologies are concentrated in local hubs, but over time, their adoption diffuses geographically. Third, despite this diffusion, the initial hubs retain a disproportionate share of employment in the technology, particularly at the high-skill end of the spectrum. Finally, technology hubs are more likely to arise in areas with universities and high skilled labor pools.

Suggested Citation

  • Nicholas Bloom & Tarek A. Hassan & Aakash Kalyani & Josh Lerner & Ahmed Tahoun, 2020. "The Geography of New Technologies," Working Papers Series inetwp126, Institute for New Economic Thinking.
    • Handle: RePEc:thk:wpaper:inetwp126
    DOI: 10.36687/inetwp126
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    File URL: https://doi.org/10.36687/inetwp126
    File Function: First version, 2020
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    Citations

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    Cited by:

    1. Enghin Atalay & Sebastian Sotelo & Daniel Tannenbaum, 2024. "The Geography of Job Tasks," Journal of Labor Economics, University of Chicago Press, vol. 42(4), pages 979-1008.
    2. Karen Chapple & Laura Schmahmann, 2023. "Can we “Claim†the Workforce? A Labor-Focused Agenda for Economic Development in the Face of an Uncertain Future," Economic Development Quarterly, , vol. 37(1), pages 14-19, February.
    3. Gold, E. Richard, 2021. "The fall of the innovation empire and its possible rise through open science," Research Policy, Elsevier, vol. 50(5).
    4. Max Nathan & Henry Overman, 2020. "Will coronavirus cause a big city exodus?," Environment and Planning B, , vol. 47(9), pages 1537-1542, November.

    More about this item

    Keywords

    Technology; Geography; Employment; Innovation; R and D;
    All these keywords.

    JEL classification:

    • O31 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Innovation and Invention: Processes and Incentives
    • O32 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Management of Technological Innovation and R&D

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