The employment impact of product innovations in sub-Saharan Africa: Firm-level evidence

Elvis Korku Avenyo*, Maty Konte, Pierre Mohnen

*Corresponding author for this work

Research output: Contribution to journalArticleAcademicpeer-review

Abstract

Innovation has become a key interest in sub-Saharan Africa (SSA), as it is argued to be pervasive, and plays an eminent role in generating employment. There is, however, a dearth of empirical evidence assessing the impact of innovation on firm employment for SSA. This paper investigates the impact of product innovations on job creation using data from the recent waves of the Enterprise Survey merged with Innovation Follow-Up Survey for SSA countries for which both surveys are available. We apply the Dose Response Model under continuous and heterogeneous responses to treatment. The results reveal a positive impact of product innovations on total employment. This result is, however, found to hold only at specific intervals of product innovation intensities. Our analyses also show that product innovations tend to create both temporary and permanent jobs as well as skilled and unskilled jobs. However, the positive impact of product innovations on temporary and unskilled employment tends to outweigh that of permanent and skilled employment, raising questions about the security and quality of the new jobs generated by product innovations.
Original languageEnglish
Article number103806
Number of pages14
JournalResearch Policy
Volume48
Issue number9
DOIs
Publication statusPublished - Nov 2019

Keywords

  • Employment
  • Product innovations
  • Dose response model
  • Sub-Saharan Africa
  • CATCHING-UP
  • GROWTH
  • MODELS

Cite this

@article{6eb7dbb63ce743f7a5d2b303dd199a1b,
title = "The employment impact of product innovations in sub-Saharan Africa: Firm-level evidence",
abstract = "Innovation has become a key interest in sub-Saharan Africa (SSA), as it is argued to be pervasive, and plays an eminent role in generating employment. There is, however, a dearth of empirical evidence assessing the impact of innovation on firm employment for SSA. This paper investigates the impact of product innovations on job creation using data from the recent waves of the Enterprise Survey merged with Innovation Follow-Up Survey for SSA countries for which both surveys are available. We apply the Dose Response Model under continuous and heterogeneous responses to treatment. The results reveal a positive impact of product innovations on total employment. This result is, however, found to hold only at specific intervals of product innovation intensities. Our analyses also show that product innovations tend to create both temporary and permanent jobs as well as skilled and unskilled jobs. However, the positive impact of product innovations on temporary and unskilled employment tends to outweigh that of permanent and skilled employment, raising questions about the security and quality of the new jobs generated by product innovations.",
keywords = "Employment, Product innovations, Dose response model, Sub-Saharan Africa, CATCHING-UP, GROWTH, MODELS",
author = "Avenyo, {Elvis Korku} and Maty Konte and Pierre Mohnen",
note = "Data source : World Bank Enterprise Survey merged with Innovation Follow-Up Survey for SSA countries",
year = "2019",
month = "11",
doi = "10.1016/j.respol.2019.103806",
language = "English",
volume = "48",
journal = "Research Policy",
issn = "0048-7333",
publisher = "Elsevier",
number = "9",

}

The employment impact of product innovations in sub-Saharan Africa : Firm-level evidence. / Avenyo, Elvis Korku; Konte, Maty; Mohnen, Pierre.

In: Research Policy, Vol. 48, No. 9, 103806, 11.2019.

Research output: Contribution to journalArticleAcademicpeer-review

TY - JOUR

T1 - The employment impact of product innovations in sub-Saharan Africa

T2 - Firm-level evidence

AU - Avenyo, Elvis Korku

AU - Konte, Maty

AU - Mohnen, Pierre

N1 - Data source : World Bank Enterprise Survey merged with Innovation Follow-Up Survey for SSA countries

PY - 2019/11

Y1 - 2019/11

N2 - Innovation has become a key interest in sub-Saharan Africa (SSA), as it is argued to be pervasive, and plays an eminent role in generating employment. There is, however, a dearth of empirical evidence assessing the impact of innovation on firm employment for SSA. This paper investigates the impact of product innovations on job creation using data from the recent waves of the Enterprise Survey merged with Innovation Follow-Up Survey for SSA countries for which both surveys are available. We apply the Dose Response Model under continuous and heterogeneous responses to treatment. The results reveal a positive impact of product innovations on total employment. This result is, however, found to hold only at specific intervals of product innovation intensities. Our analyses also show that product innovations tend to create both temporary and permanent jobs as well as skilled and unskilled jobs. However, the positive impact of product innovations on temporary and unskilled employment tends to outweigh that of permanent and skilled employment, raising questions about the security and quality of the new jobs generated by product innovations.

AB - Innovation has become a key interest in sub-Saharan Africa (SSA), as it is argued to be pervasive, and plays an eminent role in generating employment. There is, however, a dearth of empirical evidence assessing the impact of innovation on firm employment for SSA. This paper investigates the impact of product innovations on job creation using data from the recent waves of the Enterprise Survey merged with Innovation Follow-Up Survey for SSA countries for which both surveys are available. We apply the Dose Response Model under continuous and heterogeneous responses to treatment. The results reveal a positive impact of product innovations on total employment. This result is, however, found to hold only at specific intervals of product innovation intensities. Our analyses also show that product innovations tend to create both temporary and permanent jobs as well as skilled and unskilled jobs. However, the positive impact of product innovations on temporary and unskilled employment tends to outweigh that of permanent and skilled employment, raising questions about the security and quality of the new jobs generated by product innovations.

KW - Employment

KW - Product innovations

KW - Dose response model

KW - Sub-Saharan Africa

KW - CATCHING-UP

KW - GROWTH

KW - MODELS

U2 - 10.1016/j.respol.2019.103806

DO - 10.1016/j.respol.2019.103806

M3 - Article

VL - 48

JO - Research Policy

JF - Research Policy

SN - 0048-7333

IS - 9

M1 - 103806

ER -