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Spoils of innovation? Employment effects of R&D and knowledge spillovers in Finland

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Item embargoed until 2021-06-18. Restrictions imposed by the publisher
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final draft
Date
2019
Author(s)
Aldieri, Luigi
Makkonen, Teemu
Vinci, Concetto Paolo
Unique identifier
10.1080/10438599.2019.1703754
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Self-archived article

Citation
Aldieri, Luigi. Makkonen, Teemu. Vinci, Concetto Paolo. (2019). Spoils of innovation? Employment effects of R&D and knowledge spillovers in Finland.  Economics of innovation and new technology, [Epub ahead of print 18 Dec 2019], 10.1080/10438599.2019.1703754.
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© Informa UK Limited, trading as Taylor & Francis Group
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Abstract

This paper investigates the relationship between innovation and employment by analyzing the factors that drive job creation processes and particularly by scrutinizing the role of innovation on the skill structure of regional labor demand. The study utilizes Finnish regional innovation (proxied with R&D expenditures) and employment data for 2000–2013. The results show statistically significant positive employment effects from local innovation activities and knowledge spillovers from other regions only on the demand for high-skilled employees. For low-skilled employees, the employment effects of local innovation activities are significantly negative, while there is no impact from knowledge spillovers from other regions. These effects are robust also for different lag structures. The findings are significant in terms of their policy implications for supporting employment; Finnish innovation policy should consider the negative impacts of innovation on low-skilled employees more explicitly.

Subjects
employment   Finland   innovation   spillovers   spatial analysis   
URI
https://erepo.uef.fi/handle/123456789/7903
Link to the original item
http://dx.doi.org/10.1080/10438599.2019.1703754
Publisher
Informa UK Limited
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  • Yhteiskuntatieteiden ja kauppatieteiden tiedekunta [379]
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