Abstract
After discussing theory regarding the consequences of technological change on employment, our
aim is to test the possible job creation effect of business R&D expenditures, using a unique longitudinal
database covering 677 European firms (1990-2008). The main outcome from the dynamic
LSDVC (Least Squared Dummy Variable Corrected) estimate is the labour-friendly nature of companies’
R&D, the coefficient of which turns out to be statistically significant. However, the positive
impact of R&D on employment is only detectable in services and high-tech manufacturing. This is
something that should be borne in mind by European policy makers having employment as one of
their aims.
| Original language | English |
|---|---|
| Pages (from-to) | 239-264 |
| Number of pages | 26 |
| Journal | Rivista Internazionale di Scienze Sociali |
| Publication status | Published - 2014 |
Keywords
- Employment
- Innovation
- LSDVC
- Manufacturing
- Services
