Innovation and employment. A sectoral analysis in the EU

Research output: Chapter in Book/Report/Conference proceedingChapter


The aim of this chapter is twofold. On the one hand, the economic insights on the employment impact of technological change are discussed considering both theories and empirical studies. On the other hand, an empirical test is provided: longitudinal data – covering manufacturing and service industries over the 1998-2011 period in 11 European countries – are used to run GMMSYS estimates. Two are the main results: 1) a significant labor-friendly impact of R&D expenditures (related to product innovation) is found; 2) capital formation turns out to be negatively related to employment; this outcome suggests a possible labor-saving effect due to the embodied technological change incorporated in gross investment (related to process innovation).
Original languageEnglish
Title of host publicationEssays in Honor of Luigi Campiglio
EditorsM. Baussola, C. Bellavite Pellegrini, M. Vivarelli
Number of pages13
Publication statusPublished - 2018


  • Employees
  • Technological change


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