IDEAS home Printed from https://ideas.repec.org/a/oup/indcch/v17y2008i4p813-839.html
   My bibliography  Save this article

Employment, innovation, and productivity: evidence from Italian microdata

Author

Listed:
  • Jacques Mairesse

Abstract

Italian manufacturing firms have been losing ground with respect to many of their European competitors. This article presents some empirical evidence on the effects of innovation on employment growth and therefore on firms’ productivity with the goal of understanding the roots of such poor performance. We use firm level data from the last three surveys on Italian manufacturing firms conducted by Mediocredito-Capitalia, which cover the period 1995–2003. Using a slightly modified version of the model proposed by Harrison, Jaumandreu, Mairesse and Peters (Harrison et al. , 2005 ), which separates employment growth rates into those associated with old and new products, we find no evidence of significant employment displacement effects stemming from process innovation. The sources of employment growth during the period are split equally between the net contribution of product innovation and the net contribution from sales growth of old products. However, the contribution of product innovation to employment growth is somewhat lower than in the four European countries considered in Harrison et al. ( 2005 ), and the contribution of innovation in general to productivity growth is almost nil in Italy during this period. Copyright 2008 , Oxford University Press.

Suggested Citation

  • Jacques Mairesse, 2008. "Employment, innovation, and productivity: evidence from Italian microdata," Industrial and Corporate Change, Oxford University Press, vol. 17(4), pages 813-839, August.
  • Handle: RePEc:oup:indcch:v:17:y:2008:i:4:p:813-839
    as

    Download full text from publisher

    File URL: http://hdl.handle.net/10.1093/icc/dtn022
    Download Restriction: Access to full text is restricted to subscribers.
    ---><---

    As the access to this document is restricted, you may want to look for a different version below or search for a different version of it.

    Other versions of this item:

    References listed on IDEAS

    as
    1. Peters, Bettina, 2004. "Employment Effects of Different Innovation Activities: Microeconometric Evidence," ZEW Discussion Papers 04-73, ZEW - Leibniz Centre for European Economic Research.
    2. Lachenmaier Stefan & Rottmann Horst, 2007. "Employment Effects of Innovation at the Firm Level," Journal of Economics and Statistics (Jahrbuecher fuer Nationaloekonomie und Statistik), De Gruyter, vol. 227(3), pages 254-272, June.
    3. Zimmermann, Klaus F, 1991. "The Employment Consequences of Technological Advance, Demand and Labor Costs in 16 German Industries," Empirical Economics, Springer, vol. 16(2), pages 253-266.
    4. Mariacristina Piva & Marco Vivarelli, 2005. "Innovation and Employment: Evidence from Italian Microdata," Journal of Economics, Springer, vol. 86(1), pages 65-83, October.
    5. Doms, Mark & Dunne, Timothy & Roberts, Mark J., 1995. "The role of technology use in the survival and growth of manufacturing plants," International Journal of Industrial Organization, Elsevier, vol. 13(4), pages 523-542, December.
    6. David Blanchflower & Simon Burgess, 1998. "New Technology And Jobs: Comparative Evidence From A Two Country Study," Economics of Innovation and New Technology, Taylor & Francis Journals, vol. 5(2-4), pages 109-138.
    7. Browyn Hall & Francis Kramakz, 1998. "Effects Of Technology And Innovation On Firm Performance, Employment, And Wages," Economics of Innovation and New Technology, Taylor & Francis Journals, vol. 5(2-4), pages 99-108.
    8. Nathalie Greenan & Dominique Guellec, 2000. "Technological Innovation and Employment Reallocation," LABOUR, CEIS, vol. 14(4), pages 547-590, December.
    9. Van Reenen, John, 1997. "Employment and Technological Innovation: Evidence from U.K. Manufacturing Firms," Journal of Labor Economics, University of Chicago Press, vol. 15(2), pages 255-284, April.
    10. Zvi Griliches, 1998. "Productivity and R&D at the Firm Level," NBER Chapters, in: R&D and Productivity: The Econometric Evidence, pages 100-133, National Bureau of Economic Research, Inc.
    11. Zvi Griliches, 1984. "R&D, Patents, and Productivity," NBER Books, National Bureau of Economic Research, Inc, number gril84-1, January-J.
    12. Harrison, Rupert & Jaumandreu, Jordi & Mairesse, Jacques & Peters, Bettina, 2005. "Does innovation stimulate employment? A firm-level analysis using comparable micro data on four European countries," MPRA Paper 1245, University Library of Munich, Germany.
    13. Federico Cingano & Alfonso Rosolia, 2006. "People I Know: Workplace Networks and Job Search Outcomes," Temi di discussione (Economic working papers) 600, Bank of Italy, Economic Research and International Relations Area.
    14. Blechinger, Doris & Kleinknecht, Alfred & Licht, Georg & Pfeiffer, Friedhelm, 1998. "The impact of innovation on employment in Europe: An analysis using CIS data," ZEW Dokumentationen 98-02, ZEW - Leibniz Centre for European Economic Research.
    15. Zvi Griliches & Jacques Mairesse, 1981. "Productivity and R and D at the Firm Level," NBER Working Papers 0826, National Bureau of Economic Research, Inc.
    16. Brouwer, Erik & Kleinknecht, Alfred & Reijnen, Jeroen O N, 1993. "Employment Growth and Innovation at the Firm Level," Journal of Evolutionary Economics, Springer, vol. 3(2), pages 153-159, May.
    17. Francesca Lotti & Fabiano Schivardi, 2005. "Cross Country Differences in Patent Propensity: A Firm-Level Investigation," Giornale degli Economisti, GDE (Giornale degli Economisti e Annali di Economia), Bocconi University, vol. 64(4), pages 469-502, December.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Matteo Bugamelli & Luigi Cannari & Francesca Lotti & Silvia Magri, 2012. "The innovation gap of Italy�s production system: roots and possible solutions," Questioni di Economia e Finanza (Occasional Papers) 121, Bank of Italy, Economic Research and International Relations Area.
    2. repec:jns:jbstat:v:227:y:2007:i:3:p:254-272 is not listed on IDEAS
    3. Lachenmaier Stefan & Rottmann Horst, 2007. "Employment Effects of Innovation at the Firm Level," Journal of Economics and Statistics (Jahrbuecher fuer Nationaloekonomie und Statistik), De Gruyter, vol. 227(3), pages 254-272, June.
    4. Harrison, Rupert & Jaumandreu, Jordi & Mairesse, Jacques & Peters, Bettina, 2014. "Does innovation stimulate employment? A firm-level analysis using comparable micro-data from four European countries," International Journal of Industrial Organization, Elsevier, vol. 35(C), pages 29-43.
    5. Francesco Bogliacino & Mariacristina Piva & Marco Vivarelli, 2011. "The impact of R&D on employment in Europe: A firm-level analysis," DISCE - Quaderni del Dipartimento di Scienze Economiche e Sociali dises1176, Università Cattolica del Sacro Cuore, Dipartimenti e Istituti di Scienze Economiche (DISCE).
    6. Lachenmaier, Stefan & Rottmann, Horst, 2011. "Effects of innovation on employment: A dynamic panel analysis," International Journal of Industrial Organization, Elsevier, vol. 29(2), pages 210-220, March.
    7. Francesco Bogliacino & Mariacristina Piva & Marco Vivarelli, 2014. "Technology and employment: the job creation effect of business R&D," Rivista Internazionale di Scienze Sociali, Vita e Pensiero, Pubblicazioni dell'Universita' Cattolica del Sacro Cuore, vol. 122(3), pages 239-264.
    8. Alex Coad & Rekha Rao, 2011. "The firm-level employment effects of innovations in high-tech US manufacturing industries," Journal of Evolutionary Economics, Springer, vol. 21(2), pages 255-283, May.
    9. Bogliacino, Francesco & Piva, Mariacristina & Vivarelli, Marco, 2011. "R&D and Employment: Some Evidence from European Microdata," IZA Discussion Papers 5908, Institute of Labor Economics (IZA).
    10. Harrison, Rupert & Jaumandreu, Jordi & Mairesse, Jacques & Peters, Bettina, 2005. "Does innovation stimulate employment? A firm-level analysis using comparable micro data on four European countries," MPRA Paper 1245, University Library of Munich, Germany.
    11. Francesco Bogliacino & Mariacristina Piva & Marco Vivarelli, 2011. "The impact of R&D on employment in Europe: A firm-level analysis," DISCE - Quaderni del Dipartimento di Scienze Economiche e Sociali dises1176, Università Cattolica del Sacro Cuore, Dipartimenti e Istituti di Scienze Economiche (DISCE).
    12. Francesco Bogliacino & Mariacristina Piva & Marco Vivarelli, 2011. "Job Creation Effects of R&D Expenditures: Are High-tech Sectors the Key?," JRC Working Papers on Corporate R&D and Innovation 2011-10, Joint Research Centre (Seville site).
    13. Mehmet Ugur & Sefa Awaworyi Churchill & Edna Solomon, 2018. "Technological Innovation And Employment In Derived Labour Demand Models: A Hierarchical Meta†Regression Analysis," Journal of Economic Surveys, Wiley Blackwell, vol. 32(1), pages 50-82, February.
    14. Vincent Van Roy & Daniel Vertesy & Marco Vivarelli, 2015. "The Employment Impact of Innovation: Evidence from European Patenting Companies," DISCE - Quaderni del Dipartimento di Politica Economica ispe0075, Università Cattolica del Sacro Cuore, Dipartimenti e Istituti di Scienze Economiche (DISCE).
    15. Flavio Calvino & Maria Enrica Virgillito, 2018. "The Innovation†Employment Nexus: A Critical Survey Of Theory And Empirics," Journal of Economic Surveys, Wiley Blackwell, vol. 32(1), pages 83-117, February.
    16. Van Roy, Vincent & Vertesy, Daniel & Vivarelli, Marco, 2015. "Innovation and Employment in Patenting Firms: Empirical Evidence from Europe," IZA Discussion Papers 9147, Institute of Labor Economics (IZA).
    17. Peters, Bettina, 2004. "Employment Effects of Different Innovation Activities: Microeconometric Evidence," ZEW Discussion Papers 04-73, ZEW - Leibniz Centre for European Economic Research.
    18. Aldieri, Luigi & Garofalo, Antonio & Vinci, Concetto Paolo, 2015. "R&D Spillovers and Employment: A Micro-econometric Analysis," MPRA Paper 67269, University Library of Munich, Germany.
    19. Luigi Aldieri & Concetto Paolo Vinci, 2019. "Firm Size and Sustainable Innovation: A Theoretical and Empirical Analysis," Sustainability, MDPI, vol. 11(10), pages 1-9, May.
    20. Czarnitzki, Dirk & Kraft, Kornelius, 2007. "Mitarbeiteranreizsysteme und Innovationserfolg," ZEW Discussion Papers 07-075, ZEW - Leibniz Centre for European Economic Research.
    21. Angela Triguero & David Córcoles & Maria Cuerva, 2014. "Persistence of innovation and firm’s growth: evidence from a panel of SME and large Spanish manufacturing firms," Small Business Economics, Springer, vol. 43(4), pages 787-804, December.

    More about this item

    JEL classification:

    • L60 - Industrial Organization - - Industry Studies: Manufacturing - - - General
    • O31 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Innovation and Invention: Processes and Incentives
    • O33 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Technological Change: Choices and Consequences; Diffusion Processes

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:oup:indcch:v:17:y:2008:i:4:p:813-839. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: . General contact details of provider: https://academic.oup.com/icc .

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Oxford University Press (email available below). General contact details of provider: https://academic.oup.com/icc .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.