Abstract
This article explores the employment impact of innovation activity, taking into account both R&D expenditures and embodied technological change (ETC). We use a novel panel data set covering 265 innovative Italian firms over the period 1998-2010. The main outcome from the proposed fixed-effect estimations is a labor-friendly nature of total innovation expenditures; however, this positive effect is barely significant when the sole in-house R&D expenditures are considered and fades away when ETC is included as a proxy for innovation activities. Moreover, the positive employment impacts of innovation activities and R&D expenditures are totally due to firms operating in high-tech industries and large companies, while no job creation due to technical change is detectable in traditional sectors and SMEs.
| Original language | English |
|---|---|
| Pages (from-to) | 203-218 |
| Number of pages | 16 |
| Journal | Industrial and Corporate Change |
| Volume | 28 |
| Issue number | 1 |
| DOIs | |
| Publication status | Published - Feb 2019 |
JEL classifications
- o33 - "Technological Change: Choices and Consequences; Diffusion Processes"
- o15 - "Economic Development: Human Resources; Human Development; Income Distribution; Migration"
- o14 - "Industrialization; Manufacturing and Service Industries; Choice of Technology"
Keywords
- TECHNICAL CHANGE
- JOB CREATION
- FIRM-LEVEL
- INNOVATION
- PRODUCTIVITY
- SKILLS
- COUNTRIES
- DEMAND
- SIZE