Lecture 7- Diffusion modelling approach

Question 1

What’s the principle of Spatial econometrics?

Answer 1

how diffusion changes with location. As the meaning of spatial includes policies, education, local administration.

Question 2

What do diffusion studies focus on?

Answer 2

• Micro level: examining the individual’s adoption of innovation.
• Macro level: modelling the sigmoid diffusion curve (aggregate of individuals).
• Spatial diffusion: the diffusion takes place in space and time.

Question 3

What are the technological spill overs that may occur through different channels?

Answer 3

• Knowledge and people: international exchanges, foreign indirect investments.
• International cooperation on R&D and technology transfer.

Question 4

How does Hägerstrand view diffusion?

Answer 4

He see’s diffusion as a change from low proportion of adopters to high proportion. Also with 3 regularities: S-shaped curve, Hierarchical effect and Neighbourhood effect.

Question 5

How does Mahajan and Peterson view diffusion?

Answer 5

Their aim was to see the diffusion in space and time dimension. The principle is to compare Adoption rates and Number of adoptions in different regions, using neighbourhood effect and s-shaped curve.