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The role of innovation for employment growth among firms in developing countries: Evidence from Nigeria

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  • Stephen Kehinde Medase
  • Michael Wyrwich

Abstract

This paper examines the nexus between innovation and employment growth. In contrast to most studies that employ data from technologically advanced economies, the study uses well-documented data from a leapfrogging and catching-up economy in sub-Saharan Africa. We find a positive relationship between process innovation and employment growth among Nigerian manufacturing and services firms from 2005 to 2010. Furthermore, product innovation is also positively related to employment growth in manufacturing. This study’s peculiarity is that innovative firms’ ability to grow rely on their operations in regional and export markets, respectively. Our study contributes to the understanding of innovation and firm development in emerging economies.

Suggested Citation

  • Stephen Kehinde Medase & Michael Wyrwich, 2022. "The role of innovation for employment growth among firms in developing countries: Evidence from Nigeria," African Journal of Science, Technology, Innovation and Development, Taylor & Francis Journals, vol. 14(3), pages 610-619, April.
    • Handle: RePEc:taf:rajsxx:v:14:y:2022:i:3:p:610-619
    DOI: 10.1080/20421338.2021.1877417
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    Cited by:

    1. Keraga, Mezid N. & Stephan, Andreas, 2023. "Does innovation stimulate employment in Africa? New firm-level evidence from the Worldbank Enterprise Survey," Working Paper Series in Economics and Institutions of Innovation 494, Royal Institute of Technology, CESIS - Centre of Excellence for Science and Innovation Studies.

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