This empirical paper investigates the impact of different sources of increasing returns on firm innovative behaviour in two regions of the UK in the period of the 1990s. We pay particular attention to the impact of intermediate markets such as the market for specialised business services as a...

A key feature of the UK's South East regional economy in recent decades has been the development of several intermediate markets in specialised business services. This paper investigates whether the greater development of specialised markets in the South East is associated with different...