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Technological innovation and employment: complements or substitutes?

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  • Jose Miguel Benavente
  • Rodolfo Lauterbach

Abstract

In this paper we study the impact of innovative activities on employment in Chile. We closely follow a previous work by Harrison, Jaumandreu, Mairesse and Peters (2005) who developed an empirical strategy based on Jaumandreu (2003) which accounts for differences between product and process innovations. Using firm-level micro-data for the period 1998-2001, we find that product innovations affect employment positively and significantly. On the other hand, there is no evidence to suggest that process innovations significantly affect employment after controlling for investment and sectoral patterns.

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Bibliographic Info

Article provided by Taylor and Francis Journals in its journal The European Journal of Development Research.

Volume (Year): 20 (2008)
Issue (Month): 2 ()
Pages: 318-329

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Handle: RePEc:taf:eurjdr:v:20:y:2008:i:2:p:318-329

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Related research

Keywords: process innovation; product innovation; employment; instrumental variables methods;

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References

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  1. Gary Fields & Paul Cichello & Samuel Freije & Marta Menéndez & David Newhouse, 2003. "For Richer or for Poorer? Evidence from Indonesia, South Africa, Spain, and Venezuela," Journal of Economic Inequality, Springer, vol. 1(1), pages 67-99, April.
  2. Bound, John, et al, 1994. "Evidence on the Validity of Cross-Sectional and Longitudinal Labor Market Data," Journal of Labor Economics, University of Chicago Press, vol. 12(3), pages 345-68, July.
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Citations

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Cited by:
  1. Sérgio Kannebley & Júlia Sekkel & Bruno Araújo, 2010. "Economic performance of Brazilian manufacturing firms: a counterfactual analysis of innovation impacts," Small Business Economics, Springer, vol. 34(3), pages 339-353, April.
  2. Ernst, Daniel & Stoetzer, Matthias-Wolfgang, 2012. "Beschäftigungseffekte von Innovationen auf Unternehmensebene: Ein Überblick theoretischer und empirischer Befunde," Wirtschaftswissenschaftliche Schriften 03/2012, University of Applied Sciences Jena, Department of Business Administration.
  3. Waheed, Abdul, 2012. "Employment effect of innovation: microdata evidence from Bangladesh and Pakistan," MERIT Working Papers 024, United Nations University - Maastricht Economic and Social Research Institute on Innovation and Technology (MERIT).
  4. Stucchi, Rodolfo & Giuliodori, David, 2010. "Innovation and job creation in a dual labor market: Evidence from Spain," MPRA Paper 23006, University Library of Munich, Germany.
  5. Roberto Álvarez & Álvaro García, 2008. "Productivity, Innovations and Exports in the Chilean Manufacturing Industry," Working Papers Central Bank of Chile 476, Central Bank of Chile.
  6. Crespi, Gustavo & Tacsir, Ezequiel, 2011. "Effects of innovation on employment in Latin America," MPRA Paper 35429, University Library of Munich, Germany.
  7. Arias Ortiz, Elena & Crespi, Gustavo & Tacsir, Ezequiel & Vargas, Fernando & Zuniga, Pluvia, 2013. "Innovation for economic performance: The case of Latin American firms," MERIT Working Papers 028, United Nations University - Maastricht Economic and Social Research Institute on Innovation and Technology (MERIT).
  8. Victoria Castillo & Alessandro Maffioli & Sofía Rojo & Rodolfo Stucchi, 2014. "The effect of innovation policy on SMEs’ employment and wages in Argentina," Small Business Economics, Springer, vol. 42(2), pages 387-406, February.
  9. Ramiro De Elejalde & David Giuliodori & Rodolfo Stucchi, 2013. "Employment and innovation: Firm level evidence from Argentina," ILADES-Georgetown University Working Papers inv291, Ilades-Georgetown University, Universidad Alberto Hurtado/School of Economics and Bussines.
  10. Goedhuys, Micheline & Sleuwaegen, Leo, 2009. "High-Growth Entrepreneurial Firms in Africa: A Quantile Regression Approach," Working Paper Series UNU-WIDER Research Paper , World Institute for Development Economic Research (UNU-WIDER).

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