Innovation and Job Creation in a Small Open Economy Evidence from Norwegian Manufacturing Plants 1982-92
AbstractIt is often claimed that the opportunities to create new manufacturing jobs in open, high-cost economies such as Norway, are concentrated in products which are technologically advanced and knowledge intensive. This paper examines the relationship between job creation and innovation, as measured by R&D investments, in Norwegian manufacturing. We compare job creation in plants belonging to R&D firms to plants belonging to firms without R&D. We also compare job creation in plants belonging to high and low tech industries. Our data set covers more than 80 percent of manufacturing employment in Norway over the period 1982-92. The paper challenges the optimistic view about job creation in R&D intensive firms and high-tech industries. Some main findings are: (i) Net job creation is not higher in high-tech industries. (ii) There is no clear-cut positive relationship between net job creation and the R&D-intensity of the firm. (iii) There is less net job creation and less job-security in R&D-intensive firms in the late 1980s and early 1990s.
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Bibliographic InfoPaper provided by Research Department of Statistics Norway in its series Discussion Papers with number 159.
Date of creation: Dec 1995
Date of revision:
R&D; innovation; job creation; job destruction.;
Find related papers by JEL classification:
- E32 - Macroeconomics and Monetary Economics - - Prices, Business Fluctuations, and Cycles - - - Business Fluctuations; Cycles
- J23 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Labor Demand
- J63 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Turnover; Vacancies; Layoffs
- O32 - Economic Development, Technological Change, and Growth - - Technological Change; Research and Development; Intellectual Property Rights - - - Management of Technological Innovation and R&D
- O33 - Economic Development, Technological Change, and Growth - - Technological Change; Research and Development; Intellectual Property Rights - - - Technological Change: Choices and Consequences; Diffusion Processes
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- Harrison, Rupert & Jaumandreu Balanzo, Jordi & Mairesse, Jacques & Peters, Bettina, 2008.
"Does Innovation Stimulate Employment? A Firm-Level Analysis Using Comparable Micro-Data From Four European Countries,"
ZEW Discussion Papers
08-111, ZEW - Zentrum für Europäische Wirtschaftsforschung / Center for European Economic Research.
- Rupert Harrison & Jordi Jaumandreu & Jacques Mairesse & Bettina Peters, 2008. "Does Innovation Stimulate Employment? A Firm-Level Analysis Using Comparable Micro-Data from Four European Countries," NBER Working Papers 14216, National Bureau of Economic Research, Inc.
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- Koski, Heli, 2008. "Public R&D Subsidies and Employment Growth - Microeconomic Evidence from Finnish Firms," Discussion Papers 1143, The Research Institute of the Finnish Economy.
- Maliranta, Mika, 2001. "Productivity Growth and Micro-level Restructuring. Finnish experiences during the turbulent decades," Discussion Papers 757, The Research Institute of the Finnish Economy.
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