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R&D, Embodied Technological Change and Employment: Evidence from Italian Microdata

Laura Barbieri (), Mariacristina Piva () and Marco Vivarelli ()

No 10354, IZA Discussion Papers from Institute for the Study of Labor (IZA)

Abstract: This paper explores the employment impact of innovation activity, taking into account both R&D expenditures and embodied technological change (ETC). We use a novel panel dataset 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.

Keywords: technology; innovation; R&D; embodied technological change; employment (search for similar items in EconPapers)
JEL-codes: O31 O33 (search for similar items in EconPapers)
New Economics Papers: this item is included in nep-cse, nep-ent, nep-eur, nep-ino, nep-knm and nep-tid
Date: 2016-11
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Citations: View citations in EconPapers (3) Track citations by RSS feed

Published in: Industrial and Corporate Change, 2019, 28, 203-218.

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Journal Article: R&D, embodied technological change, and employment: evidence from Italian microdata (2019) Downloads
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