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) reveals important differences between the two groups: foreign-owned firms experience higher employment losses due to general productivity increases than domestically owned firms. These reductions, however, are overcompensated by the employment-creating effects of higher sales from old products and by employment creation by product innovation. Together, all three effects result in net employment growth in foreign-owned firms.
| Original language | English |
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| Title of host publication | http://www.webmeets.com/earie/2011/prog/viewpaper.asp?pid=656 |
| Publication status | Published - 2011 |
| Event | 38th Annual Conference of the European Association for Research in Industrial Economics - Duration: 1 Sept 2011 → 3 Sept 2011 |
Conference
| Conference | 38th Annual Conference of the European Association for Research in Industrial Economics |
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| Period | 1/09/11 → 3/09/11 |
Research Field
- Former Research Field - Innovation Systems and Policy
Keywords
- employment
- foreign-owned firms
- innovation
- Community Innovation Survey
- host country effects
