Social distance versus spatial distance in R&D cooperation: Empirical evidence from European collaboration choices in micro and nanotechnologies

Spurred on by the theory of network formation, and by the geography of innovation, traditional analyses on R&D cooperation face a deep renewal. This paper assesses the extent to which these renewals find an empirical validation. Based on the research projects submitted to the 6th Framework Program of the European Union, a binary choice model is used in order to highlight the existence of network and spatial effects alongside other microeconomic determinants of cooperation. Our findings suggest that network effects are present, so that probability of collaboration is influenced by each individual's position within the network. Social distance thus seems to matter more than geographical distance.