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Innovation persistence and employment dynamics

Stefano Bianchini () and Gabriele Pellegrino
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Stefano Bianchini: BETA, University of Strasbourg

No 2017/03, Working Papers from Institut d'Economia de Barcelona (IEB)

Abstract: This paper examines the effect of persistence in product and process innovations on the employment dynamics of a representative sample of Spanish manufacturing firms observed over more than 20 years. We build on a conceptual framework that links innovation persistence, employment growth and the persistence of this growth in the long-run. Using dynamic panel GMM and survival analysis techniques, we find that persistence in product innovation affects both employment growth and the sustainability of job creation over time significantly, whilst persistence in process innovation does not play any relevant role. The evidence we provide supports the notion that product innovation is more effective in spurring sustained employment growth when carried out systematically.

Keywords: Firm growth; job creation; innovation; persistence in innovation; path-dependence (search for similar items in EconPapers)
JEL-codes: D22 O31 O32 O33 (search for similar items in EconPapers)
Pages: 39 pages
Date: 2017
New Economics Papers: this item is included in nep-cse, nep-ent, nep-eur, nep-ino, nep-sbm and nep-tid
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (2)

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Related works:
Journal Article: Innovation persistence and employment dynamics (2019) Downloads
Working Paper: Innovation persistence and employment dynamics (2019) Downloads
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