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Revisiting the Analysis of Innovation on Employment : an Analysis for Uruguay

Author

Listed:
  • Agustín Correa Benavídez

    (Universidad de la República (Uruguay). Facultad de Ciencias Económicas y de Administración. Instituto de Economía)

  • Adriana Peluffo

    (Universidad de la República (Uruguay). Facultad de Ciencias Económicas y de Administración. Instituto de Economía)

Abstract

Employment has been a major preoccupation in developing countries facing technical progress. Thus, understanding the impact of technological change on employment is at the center of the policy debate. The objective of this work is to analyze the effect of innovation on labor demand, and the skill composition of the labor force. The data for this study come from the Innovation Surveys for Uruguay over the 2000-2021 period. We analyze the whole sample and manufacturing and service sectors according to technological/knowledge intensity. Using quantile regressions, our results show that innovation has a positive effect on employment and skilled labor growth. Usually, the impact of innovation is higher for skilled labor and at lower levels of the distribution. The results are heterogeneous according to technological intensity, and economic sector. These findings contribute to deepen the analysis of the effects of innovation on employment in Uruguay, providing new evidence with respect to previous studies.

Suggested Citation

  • Agustín Correa Benavídez & Adriana Peluffo, 2025. "Revisiting the Analysis of Innovation on Employment : an Analysis for Uruguay," Documentos de Trabajo (working papers) 25-20, Instituto de Economía - IECON.
    • Handle: RePEc:ulr:wpaper:dt-20-25
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    File URL: https://hdl.handle.net/20.500.12008/51577
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    References listed on IDEAS

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    Keywords

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    JEL classification:

    • D2 - Microeconomics - - Production and Organizations
    • J23 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Labor Demand
    • L1 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance
    • 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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