Innovation and Employment

By M. Vivarelli. 2015

293 citations recorded by the source corpus.

Studies find that technological change has contributed to the decline in manufacturing and to persistent unemployment in many advanced economies. While process innovation can be job-destroying, product innovation can imply the emergence of new firms, new sectors, and thus new jobs. But even for process innovation, the final impact on labor demand is shaped by market mechanisms that can compensate for the direct job-destroying impact if market and institutional rigidities do not impede them. Policies should maximize the job-creation effect of product innovation and minimize the direct labor-saving impact of process innovation.

Subfields: Economics and Econometrics

View Paper: https://www.semanticscholar.org/paper/627c59fb50639e788b454b8052777197143dd273

How researchers see this paper

The researchers whose trusted networks rank it highest, strongest advocate first. Every researcher gets a different order.

In Economics and Econometrics

1. M. Vivarelli
2. M. Virgillito
3. Giovanni Dosi
4. Vincent Van Roy
5. D. Vértesy
6. M. Piva
7. B. Dachs
8. Bettina Peters

Citations in the corpus

• Technology and employment: Mass unemployment or job creation? Empirical evidence from European patenting firms (2018, background): “The other view argues that product innovations and indirect (income and price) effects can counterbalance the direct effect of job destruction brought about by the process innovations incorporated in new machineries and equipment (for fully articulated surveys, see Calvino and Virgillito, 2018; Peti”
• Technological change and employment: is Europe ready for the challenge? (2018, unknown): “…which are generated by technological change and which might counterbalance—partially or totally—the initial labor-saving impact of process innovation2 (see also Petit 1995; Vivarelli 1995; Vivarelli and Pianta 2000; Pianta 2005; Coad and Rao 2011; Vivarelli 2013, 2014; Calvino and Virgillito 2017).”
• CSR, Innovation, and Firm Performance in Sluggish Growth Contexts: A Firm-Level Empirical Analysis (2015, background): “Pianta (2005) reveals that process innovation strategies are associated with price competitiveness, whereas product innovation strategies are linked to technological competitiveness (technological leadership).”
• THE INNOVATION†EMPLOYMENT NEXUS: A CRITICAL SURVEY OF THEORY AND EMPIRICS (2016, unknown): “This section complements and significantly extends the scope of other reviews (such as Pianta, 2005 and Vivarelli, 2014, which mostly focus on evidence during 1990s and early 2000s).”
• Innovation, employment growth, and foreign ownership of firms (2014, background): “First, innovation and technology are major drivers for employment growth of firms (Bogliacino and Pianta, 2010; Harrison et al., 2008; Pianta, 2005).”
• Is this time different? How digitalization influences job creation and destruction (2019, background): “1 For a comprehensive overview and broader discussion of the relationship between innovation and employment see Pianta (2006).”
• Embodied and disembodied technological change: The sectoral patterns of job-creation and job-destruction (2019, background): “…relationships between the adoption of technology and the ensuing effects upon employment (see Freeman, Clark and Soete, 1982, Freeman and Soete, 1994; Vivarelli, 1995; Pianta, 2005 and for recent surveys: Vivarelli, 2014; Calvino and Virgillito, 2018; Ugur, Awaworyi Churchill and Solomon, 2018).”