The Impact of Continuous Training on a Firm’s Innovations

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The Impact of Continuous Training on a Firm’s Innovations

Author Info

Stefan Bauernschuster ()
Oliver Falck ()
Stephan Heblich ()

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Abstract

Keeping up with rapid technological change necessitates constant innovation. Successful innovation depends on both incumbent workers’ knowledge, based on experience, and knowledge about the latest technologies, along with the skills needed to implement them. Both of these knowledge-based elements of innovation can be attained through moderate labor force turnover in combination with continuous training. Based on German micro data, we find empirical evidence in support of training leading to innovation within a multivariate regression framework. However, when instrumenting training by the existence of a union’s contract or a works council this impact disappears.

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Paper provided by CESifo Group Munich in its series CESifo Working Paper Series with number CESifo Working Paper No. 2258.

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Date of creation: 2008
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Handle: RePEc:ces:ceswps:_2258

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Paper
- Stefan Bauernschuster & Oliver Falck & Stephan Heblich, 2008. "The Impact of Continuous Training on a Firm’s Innovations," Economics of Education Working Paper Series 0024, University of Zurich, Institute for Strategy and Business Economics (ISU). [Downloadable!]

Find related papers by JEL classification:
J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
L11 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - Production, Pricing, and Market Structure; Size Distribution of Firms
O31 - Economic Development, Technological Change, and Growth - - Technological Change - - - Innovation and Invention: Processes and Incentives

References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:

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Other versions:
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Other versions:
- John T. Addison, 2005. "The Determinants of Firm Performance: Unions, Works Councils, and Employee Involvement/High Performance Work Practices," IZA Discussion Papers 1620, Institute for the Study of Labor (IZA). [Downloadable!]
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Other versions:
- David H. Autor, 2000. "Why Do Temporary Help Firms Provide Free General Skills Training?," NBER Working Papers 7637, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)

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