Innovation, employment growth, and foreign ownership of firms - a European perspective


Dachs, Bernhard ; Peters, Bettina


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URL: https://ub-madoc.bib.uni-mannheim.de/33295
URN: urn:nbn:de:bsz:180-madoc-332957
Document Type: Working paper
Year of publication: 2013
The title of a journal, publication series: ZEW Discussion Papers
Volume: 13-019
Place of publication: Mannheim
Publication language: English
Institution: Sonstige Einrichtungen > ZEW - Leibniz-Zentrum für Europäische Wirtschaftsforschung
MADOC publication series: Veröffentlichungen des ZEW (Leibniz-Zentrum für Europäische Wirtschaftsforschung) > ZEW Discussion Papers
Subject: 330 Economics
Classification: JEL: O310 , O330 , F230 ,
Keywords (English): Employment , innovation , foreign ownership , community innovation survey , host country effects
Abstract: This paper examines how foreign-owned and domestically owned firms transform innovation into employment growth. The empirical analysis, based on the model of Harrison, Jaumandreu, Mairesse and Peters (2008) and CIS data for 16 countries, reveals important differences between the two groups: Due to general productivity increases and process innovation, foreign-owned firms experience higher job losses than domestically owned firms. At the same time, employment- creating effects of product innovation are larger for foreignowned firms. Together with employment-stimulating effects stemming from existing products, they overcompensate the negative displacement effects resulting in net employment growth in foreign-owned firms. However, net employment growth turns out to be smaller in foreign-owned firms than in domestically owned firms.

Das Dokument wird vom Publikationsserver der Universitätsbibliothek Mannheim bereitgestellt.




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Dachs, Bernhard ; Peters, Bettina (2013) Innovation, employment growth, and foreign ownership of firms - a European perspective. Open Access ZEW Discussion Papers Mannheim 13-019 [Working paper]
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