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Direct and Indirect Complementarity between Workplace Reorganization and New Technology

  • Annalisa Cristini

    ()

    (University of Bergamo)

  • Alessandro Gaj

    ()

    (University of Bergamo)

  • Riccardo Leoni

    ()

    (University of Bergamo)

We link survey and balance sheet data to investigate the extent of complementarity between the introduction of new technology and changes in workplace practices. Across all firms, we find that new technology is complementary with higher work intensity. Similarly, changes in work techniques yield diffuse complementarity gains, particularly in firms undergoing extensive restructuring. Changes in work organization yield, on average, complementarity gains in terms of productivity growth. Substitutability between new technology and specific workplace changes is sometimes found, consistently with the presence of costs associated to learning functions or resistance to changes.

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Article provided by SIPI Spa in its journal Rivista di Politica Economica.

Volume (Year): 98 (2008)
Issue (Month): 2 (March-April)
Pages: 87-117

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Handle: RePEc:rpo:ripoec:v:98:y:2008:i:2:p:87-117
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  1. Lisa M Lynch & Sandra E Black, 2002. "How to Compete: The Impact of Workplace Practices and Information Technology on Productivity," Working Papers 02-04, Center for Economic Studies, U.S. Census Bureau.
  2. Sandra E. Black & Lisa M. Lynch, 2003. "What's driving the new economy?: the benefits of workplace innovation," Working Paper Series 2003-23, Federal Reserve Bank of San Francisco.
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  4. Sandro Trento & Massimo Warglien, 2001. "Nuove tecnologie e cambiamenti organizzativi: alcune implicazioni per le imprese italiane," Temi di discussione (Economic working papers) 428, Bank of Italy, Economic Research and International Relations Area.
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  8. Bauer, Thomas K., 2003. "Flexible Workplace Practices and Labor Productivity," IZA Discussion Papers 700, Institute for the Study of Labor (IZA).
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  13. Francis Green, 2002. "Why Has Work Effort Become More Intense?," Studies in Economics 0207, School of Economics, University of Kent.
  14. Susan Athey & Scott Stern, 1998. "An Empirical Framework for Testing Theories About Complimentarity in Organizational Design," NBER Working Papers 6600, National Bureau of Economic Research, Inc.
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  16. Jonathan Michie & Maura Sheehan, 2003. "Labour market deregulation, 'flexibility' and innovation," Cambridge Journal of Economics, Oxford University Press, vol. 27(1), pages 123-143, January.
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