Effects of innovation on employment in Latin America

Crespi, Gustavo A. and Tacsir, Ezequiel (2013). Effects of innovation on employment in Latin America. UNU-MERIT.

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UNU-MERIT Working Papers

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  • Author Crespi, Gustavo A.
    Tacsir, Ezequiel
    Title Effects of innovation on employment in Latin America
    Publication Date 2013
    Publisher UNU-MERIT
    Abstract This study examines the impact of process and product innovation on employment growth and composition in Argentina, Chile, Costa Rica, and Uruguay using micro data from innovation surveys. Based on the model put forward by Harrison et al. (1998), employment growth is related to process innovations and to the growth of sales separately due to innovative and unchanged products. Results show that compensation effects are pervasive and that the introduction of new products is associated with employment growth at the firm level. No evidence of displacement effects due to the introduction of product innovations was observed. With respect to the impact of innovation on employment composition, there is scant evidence of a skill bias, although product innovation is more complementary to skilled than to unskilled labour.
    Keyword Innovation
    Employment
    Developing countries
    Latin America
    Innovation surveys
    JEL O12
    O14
    O31
    O33
    O40
    J21
    Copyright Holder UNU-MERIT
    Copyright Year 2013
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    Created: Wed, 11 Dec 2013, 17:14:32 JST