Innovation and job creation in a dual labor market: evidence from Spain

David Giuliodori () and Rodolfo Stucchi

Economics of Innovation and New Technology, 2012, vol. 21, issue 8, 801-813

Abstract: This paper studies the effect of product and process innovations on job creation in the Spanish manufacturing sector over the period 1991--2005. We use a change in the employment protection legislation (EPL) in 1997 to study the effect of innovations on permanent and temporary workers before and after that change. We find that (i) product and process innovation created jobs, (ii) before the change in the EPL in 1997 innovations did not affect the number of permanent workers and all the increase in employment was explained by the increase in the number of temporary workers, (iii) after the change in the EPL, innovations increased both the number of temporary and permanent employees, and (iv) while the increase in temporary workers takes place after one year of the innovations, the increase in permanent workers occurs mainly two years after the innovations.

Date: 2012
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (14)

Downloads: (external link)
http://hdl.handle.net/10.1080/10438599.2012.670696 (text/html)
Access to full text is restricted to subscribers.

Related works:
Working Paper: Innovation and job creation in a dual labor market: Evidence from Spain (2010)
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:taf:ecinnt:v:21:y:2012:i:8:p:801-813

Ordering information: This journal article can be ordered from
http://www.tandfonline.com/pricing/journal/GEIN20

DOI: 10.1080/10438599.2012.670696

Access Statistics for this article

Economics of Innovation and New Technology is currently edited by Professor Cristiano Antonelli

More articles in Economics of Innovation and New Technology from Taylor & Francis Journals
Bibliographic data for series maintained by Chris Longhurst ().