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The Impact of Continuous Training on a Firm's Innovations

Author

Listed:
  • Stefan Bauernschuster

    (University of Passau)

  • Oliver Falck

    (Ifo Institute for Economic Research, University of Munich)

  • Stephan Heblich

    (Max Planck Institute of Economics, Jena)

Abstract

Keeping up with rapid technological change necessitates constant innovation. Successful innovation depends on both incumbent workers' knowledge, based on experience, and knowledge about the latest technologies, along with the skills needed to implement them. Both of these knowledge-based elements of innovation can be attained through moderate labor force turnover in combination with continuous training. Based on German micro data, we find empirical evidence in support of training leading to innovation within a multivariate regression framework. However, when instrumenting training by the existence of a union's contract or a works council this impact disappears.

Suggested Citation

  • Stefan Bauernschuster & Oliver Falck & Stephan Heblich, 2008. "The Impact of Continuous Training on a Firm's Innovations," Economics of Education Working Paper Series 0024, University of Zurich, Department of Business Administration (IBW).
    • Handle: RePEc:iso:educat:0024
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    References listed on IDEAS

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    Cited by:

    1. Antonioli,Davide & Marzucchi,Alberto & Montresor,Sandro, 2012. "Regional innovation policy and innovative behaviours. A propensity score matching evaluation," INGENIO (CSIC-UPV) Working Paper Series 201205, INGENIO (CSIC-UPV).
    2. Christopher Mcgrath & Jennifer Percival, 2013. "Short-Term And Long-Term Returns To Innovation From The Application Of Technology And Training Practices," International Journal of Innovation Management (ijim), World Scientific Publishing Co. Pte. Ltd., vol. 17(05), pages 1-18.

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    More about this item

    Keywords

    Innovation; training; unions; works councils;
    All these keywords.

    JEL classification:

    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
    • L11 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - Production, Pricing, and Market Structure; Size Distribution of Firms
    • O31 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Innovation and Invention: Processes and Incentives

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