Is Innovation Destroying Jobs? Firm-Level Evidence from the EU

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14 Citations (Scopus)

Abstract

Using a unique firm-level database comprising the top European R&D investors over the period 2002–2013 and running LSDVC estimates, this study finds a significant labor-friendly impact of R&D expenditures. However, this positive employment effect appears limited in magnitude and entirely due to the medium- and high-tech sectors, while no effect can be detected in the low-tech industries. From a policy point of view, this outcome supports the EU2020 strategy but—taking into account that most European economies are specialized in low-tech activities—is also worrying in terms of future perspectives of the European labor market.
Original languageEnglish
Pages (from-to)1-16
Number of pages16
JournalSustainability
Publication statusPublished - 2018

Keywords

  • EU
  • Employment
  • Firm-level analysis
  • Innovation
  • R&D

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