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Innovation and the Economy

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Author Info

  • Jonathan Michie
  • Christine Oughton
  • Mario Pianta

Abstract

Unemployment has remained at relatively high levels across most European countries for a generation now. There have been a number of suggested explanations for this, with correspondingly different policy implications. Two of the major hypotheses relate, first, to the impact on the European economies from increased international competition, and 'globalisation' more generally, and, secondly, to the effects of new technology and innovation. The effects of both globalisation and technology on growth and employment in Europe have been researched over the past two years through an EU-funded project, the results of which, relating in particular to innovation, are reported in this Special Issue of the International Review of Applied Economics. (The results relating to globalisation were reported in a Special Issue of the Journal of Interdisciplinary Economics , Volume 13.) It is clear from the empirical work reported that the effects of technological innovation have been mixed. There is no doubt that some innovation has had a negative effect on employment, without the compensatingly positive effects that new technology usually brings in its wake. However, in high technology manufacturing sectors there is scope for boosting both productivity and employment. But this requires an appropriate policy environment, conducive to increased investment in capital, R&D and the workforce itself.

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Bibliographic Info

Article provided by Taylor & Francis Journals in its journal International Review of Applied Economics.

Volume (Year): 16 (2002)
Issue (Month): 3 ()
Pages: 253-264

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Handle: RePEc:taf:irapec:v:16:y:2002:i:3:p:253-264

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References

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  1. Stephen Nickell & John Van Reenen, 2001. "Technological Innovation and Performance in the United Kingdom," CEP Discussion Papers dp0488, Centre for Economic Performance, LSE.
  2. Archibugi,Daniele & Howells,Jeremy & Michie,Jonathan (ed.), 1999. "Innovation Policy in a Global Economy," Cambridge Books, Cambridge University Press, number 9780521633611, November.
  3. Grazia Ietto-Gillies, 2000. "What Role for Multinationals in the New Theories of International Trade and Location?," International Review of Applied Economics, Taylor & Francis Journals, vol. 14(4), pages 413-426.
  4. Archibugi,Daniele & Howells,Jeremy & Michie,Jonathan (ed.), 1999. "Innovation Policy in a Global Economy," Cambridge Books, Cambridge University Press, number 9780521633277, November.
  5. Yïlmaz AKYÜZ, 2000. "The Debate On The International Financial Architecture: Reforming The Reformers," UNCTAD Discussion Papers 148, United Nations Conference on Trade and Development.
  6. Jan Fagerberg, 1999. "The Economic Challenge for Europe: Adapting to Innovation-Based Growth," Working Papers 2, Centre for Technology, Innovation and Culture, University of Oslo.
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Citations

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Cited by:
  1. Francesco Bogliacino & Matteo Lucchese & Mario Pianta, 2011. "Job creation in business services:Innovation, Demand, Polarisation," Working Papers 1107, University of Urbino Carlo Bo, Department of Economics, Society & Politics - Scientific Committee - L. Stefanini & G. Travaglini, revised 2011.
  2. Mario Coccia, 2012. "What are the effects of public debt on innovation and employment growth?," CERIS Working Paper 201206, Institute for Economic Research on Firms and Growth - Moncalieri (TO).
  3. Link, Albert N. & Scott, John T., 2011. "Employment Growth from Public Support of Innovation in Small Firms," Working Papers 11-17, University of North Carolina at Greensboro, Department of Economics.
  4. A. Altuzarra & C. Puerta & F. Serrano, 2007. "Evaluating the Relative Innovative Position of European Union Member Countries: An Empirical Analysis," International Review of Applied Economics, Taylor & Francis Journals, vol. 21(1), pages 175-188.
  5. 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).

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