Keywords: industrial clusters, economic development, technological innovation, utility patents, San Diego, sustainable development, technology, economic performance, sustainable economic growth
Measuring the impact of technological innovation on sustainable development in San Diego
This paper outlines the impact of technological innovation on the San Diego economy comparing the economic performance of clusters classified as technologically innovative with clusters classified as non-innovative. Utility patents are used as a proxy for innovation and are obtained for the years 1990–1999. The Standard Industrial Classification code is assigned to companies awarded patents and is used to assign company patents to the clusters. Clusters with a relatively high ratio of patents to employees are called 'Innovative' since it appears patenting is an integral part of their business. In the San Diego economy, the innovative clusters have the highest average annual growth rates in wages, business formation and new investment monies received. It is these robust economic characteristics that are more likely to lead to sustainable development.