We discuss the dynamic impact of industrial cluster on regional innovation capacity from the view of life cycle. To identify an industrial cluster, we propose the location quotient composite indexes with technological innovation as the major consideration. Meanwhile, the entire life cycle evolution of industrial clusters is divided into emerging, growth, maturity and decline stages with the graphical index theory and the agglomeration degree measurement. Referring to Cobb-Douglas production function model and conduction process of ‘industrial cluster, innovation network, regional innovation’, we develop a mathematical model to measure the dynamic impact. The model is quantitatively verified using the general equipment manufacturing industrial cluster of Yangtze River Delta area as empirical study and is deemed to have been validated.
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