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Innovation and its Effects on Employment Composition: Microeconomic Evidence from Colombian Firms

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  • Juan Felipe Mejía Mejía
  • Yurani Arias Granada

Abstract

This study analyses the effects of innovation on employment in Colombian firms for the man- ufacturing and service sectors in two different periods: 2007-2010 for the manufacturing industry, and 2010-2011 for the service industry. Based on the theoretical framework proposed by Harri- son et al.(2014), we test this relationship using instrumental variables techniques. Data proceed from The Annual Manufacturing Survey, The Development and Technological Innovation Indus- trial Survey, and The Development and Technological Innovation Services Survey, all of them collected by the Colombian National Administrative Department of Statistics (DANE).Our em- pirical results show that sales growth due to new products positively affects employment growth, and process innovation has not a displacement effect on employment growth. This is robust to different specifications and the inclusion of control variables.

Suggested Citation

  • Juan Felipe Mejía Mejía & Yurani Arias Granada, 2014. "Innovation and its Effects on Employment Composition: Microeconomic Evidence from Colombian Firms," Documentos de Trabajo de Valor Público 12338, Universidad EAFIT.
    • Handle: RePEc:col:000122:012338
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    Cited by:

    1. Mariacristina Piva & Marco Vivarelli, 2018. "Innovation, jobs, skills and tasks: a multifaceted relationship," DISCE - Quaderni del Dipartimento di Politica Economica dipe0001, Università Cattolica del Sacro Cuore, Dipartimenti e Istituti di Scienze Economiche (DISCE).
    2. Paola Azar, 2020. "Politics as a determinant of primary school provision The case of Uruguay, 1914-1954," Documentos de Trabajo (working papers) 20-07, Instituto de Economía - IECON.
    3. Laura Barbieri & Mariacristina Piva & Marco Vivarelli, 2019. "R&D, embodied technological change, and employment: evidence from Italian microdata," Industrial and Corporate Change, Oxford University Press and the Associazione ICC, vol. 28(1), pages 203-218.
    4. Carlos Bianchi & Hugo Laguna, 2020. "Firm’s innovation strategies and employment: new evidence from Uruguay," Documentos de Trabajo (working papers) 20-06, Instituto de Economía - IECON.

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    More about this item

    Keywords

    Employment Growth; Process Innovation; Product Innovation; Colombian Firms;
    All these keywords.

    JEL classification:

    • 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

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