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Innovations and Labour Market Institutions: An Empirical Analysis of the Italian Case in the middle 90’s

  • Luca Pieroni
  • Fabrizio Pompei

In this paper a dynamic panel data specification is used to assess the relationship between labour market flexibility and innovation activities by distinguishing different technological regimes of activities and geographical areas of the Italian economy. In order to estimate the previous relationship, regional patents are included as a proxy of the innovation, while job turnover and wages represent labour market indicators. The results show that higher job turnover has a significant and negative impact on patent activities only in regional sectors of Northern Italy, while a positive and significant impact of blue and white collar wages has been generally found.

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Paper provided by Università di Perugia, Dipartimento Economia in its series Quaderni del Dipartimento di Economia, Finanza e Statistica with number 12/2005.

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Date of creation: 10 Jun 2005
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Handle: RePEc:pia:wpaper:12/2005
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  1. repec:fth:harver:1473 is not listed on IDEAS
  2. Zvi Griliches, 1998. "Patent Statistics as Economic Indicators: A Survey," NBER Chapters, in: R&D and Productivity: The Econometric Evidence, pages 287-343 National Bureau of Economic Research, Inc.
  3. Asheim, Bjorn T. & Coenen, Lars, 2005. "Knowledge bases and regional innovation systems: Comparing Nordic clusters," Research Policy, Elsevier, vol. 34(8), pages 1173-1190, October.
  4. Mortensen, Dale T & Pissarides, Christopher A, 1994. "Job Creation and Job Destruction in the Theory of Unemployment," Review of Economic Studies, Wiley Blackwell, vol. 61(3), pages 397-415, July.
  5. Acemoglu, Daron, 1997. "Training and Innovation in an Imperfect Labour Market," Review of Economic Studies, Wiley Blackwell, vol. 64(3), pages 445-64, July.
  6. Paci Raffaele & Usai Stefano, 2000. "The Role of Specialisation and Diversity Externalities in the Agglomeration of Innovative Activities," Rivista italiana degli economisti, Società editrice il Mulino, issue 2, pages 237-268.
  7. Antonelli, Cristiano, 2005. "Models Of Knowledge And Systems Of Governance," Department of Economics and Statistics Cognetti de Martiis LEI & BRICK - Laboratory of Economics of Innovation "Franco Momigliano", Bureau of Research in Innovation, Complexity and Knowledge, Collegio 200501, University of Turin.
  8. George E. Johnson, 1997. "Changes in Earnings Inequality: The Role of Demand Shifts," Journal of Economic Perspectives, American Economic Association, vol. 11(2), pages 41-54, Spring.
  9. Malerba, Franco & Orsenigo, Luigi, 1996. "Schumpeterian patterns of innovation are technology-specific," Research Policy, Elsevier, vol. 25(3), pages 451-478, May.
  10. Amin, Ash & Wilkinson, Frank, 1999. "Learning, Proximity and Industrial Performance: An Introduction," Cambridge Journal of Economics, Oxford University Press, vol. 23(2), pages 121-25, March.
  11. Andrea Bassanini & Ekkehard Ernst, 2002. "Labour Market Institutions, Product Market Regulation, and Innovation: Cross-Country Evidence," OECD Economics Department Working Papers 316, OECD Publishing.
  12. Acemoglu, D, 1996. "Technology, Unemployment and Efficiency," Working papers 96-26, Massachusetts Institute of Technology (MIT), Department of Economics.
  13. Flaig, Gebhard & Stadler, Manfred, 1994. "Success breeds success. The dynamics of the innovation process," Munich Reprints in Economics 20366, University of Munich, Department of Economics.
  14. Arnott, Richard J & Stiglitz, Joseph E, 1985. "Labor Turnover, Wage Structures, and Moral Hazard: The Inefficiency of Competitive Markets," Journal of Labor Economics, University of Chicago Press, vol. 3(4), pages 434-62, October.
  15. Luca Pieroni & Fabrizio Pompei, 2006. "Localizzazione geografica delle innovazioni e mercato del lavoro," Rivista di Politica Economica, SIPI Spa, vol. 96(2), pages 277-328, March-Apr.
  16. Bound, John & Johnson, George, 1992. "Changes in the Structure of Wages in the 1980's: An Evaluation of Alternative Explanations," American Economic Review, American Economic Association, vol. 82(3), pages 371-92, June.
  17. 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.
  18. Boeri, Tito, 1996. "Is Job Turnover Countercyclical?," Journal of Labor Economics, University of Chicago Press, vol. 14(4), pages 603-25, October.
  19. Malerba, Franco & Orsenigo, Luigi, 1997. "Technological Regimes and Sectoral Patterns of Innovative Activities," Industrial and Corporate Change, Oxford University Press, vol. 6(1), pages 83-117.
  20. Kitson, Michael & Martin, Ron & Wilkinson, Frank, 2000. "Labour Markets, Social Justice and Economic Efficiency," Cambridge Journal of Economics, Oxford University Press, vol. 24(6), pages 631-41, November.
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