Co-determination and Innovation
AbstractThis paper examines the effect of the German co-determination law of 1976 (MitbestG) on the innovative activity of German firms. Co-determination applies to firms with 2000 employees or more. Data from 1971-1976 and 1981-1990 on 148 firms are used to compare the number of patents granted to co-determined firms before and after the introduction of the law. Several control variables are applied and in particular, in order to avoid a possible bias from specific effects of firm size, we compare the co-determined firms with others before and after 1976. The results do not support the view that co-determination slows down technological progress and reduces innovativeness.
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Bibliographic InfoPaper provided by Institute for the Study of Labor (IZA) in its series IZA Discussion Papers with number 4487.
Length: 45 pages
Date of creation: Oct 2009
Date of revision:
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Other versions of this item:
- J5 - Labor and Demographic Economics - - Labor-Management Relations, Trade Unions, and Collective Bargaining
- L2 - Industrial Organization - - Firm Objectives, Organization, and Behavior
- O3 - Economic Development, Technological Change, and Growth - - Technological Change; Research and Development; Intellectual Property Rights
This paper has been announced in the following NEP Reports:
- NEP-ALL-2009-11-07 (All new papers)
- NEP-INO-2009-11-07 (Innovation)
- NEP-IPR-2009-11-07 (Intellectual Property Rights)
- NEP-TID-2009-11-07 (Technology & Industrial Dynamics)
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- Addison, John T. & Teixeira, Paulino & Evers, Katalin & Bellmann, Lutz, 2013.
"Collective Bargaining and Innovation in Germany: Cooperative Industrial Relations?,"
IZA Discussion Papers
7871, Institute for the Study of Labor (IZA).
- John T. Addison & Paulino Teixeira & Katalin Evers & Lutz Bellmann, 2013. "Collective Bargaining and Innovation in Germany: Cooperative Industrial Relations?," GEMF Working Papers 2014-01, GEMF - Faculdade de Economia, Universidade de Coimbra.
- Balsmeier, Benjamin & Bermig, Andreas & Dilger, Alexander & Geyer, Hannah, 2011.
"Corporate governance and employee power in the boardroom: An applied game theoretical analysis,"
Discussion Papers of the Institute for Organisational Economics
9/2011, University of Münster, Institute for Organisational Economics.
- Balsmeier, Benjamin & Bermig, Andreas & Dilger, Alexander, 2013. "Corporate governance and employee power in the boardroom: An applied game theoretic analysis," Journal of Economic Behavior & Organization, Elsevier, vol. 91(C), pages 51-74.
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