Polder, Michael and Leeuwen, George van and Mohnen, Pierre and Raymond, Wladimir (2009): Productivity effects of innovation modes.
Download (468kB) | Preview
Many empirical studies have confirmed the positive impact of innovation on productivity at the firm level. The focus tends to be either on R&D driven techno-logical innovation on the one hand, or on organisational changes complemented by ICT on the other. To investigate the effect of different types of innovations on produc-tivity, we propose a model with two innovation input equations (R&D and ICT) that feed into a knowledge production function consisting of a system of three innovation output equations (product innovation, process innovation and organisational innova-tion), which ultimately feeds into a productivity equation. We find that ICT is an im-portant driver of innovation in both manufacturing and services. Doing more R&D has a positive effect on product innovation in manufacturing. Organisational innova-tion has the strongest productivity effects. We only find positive effects of product and process innovation when combined with an organisational innovation.
|Item Type:||MPRA Paper|
|Original Title:||Productivity effects of innovation modes|
|Keywords:||technological innovation; non-technological innovation; ICT; R&D; productivity; trivariate probit; CDM model;|
|Subjects:||O - Economic Development, Innovation, Technological Change, and Growth > O3 - Innovation ; Research and Development ; Technological Change ; Intellectual Property Rights > O30 - General
D - Microeconomics > D2 - Production and Organizations > D24 - Production ; Cost ; Capital ; Capital, Total Factor, and Multifactor Productivity ; Capacity
|Depositing User:||Michael, J.M. Polder|
|Date Deposited:||29. Nov 2009 12:38|
|Last Modified:||13. Feb 2013 17:32|
Amemiya, T. (1984), ‘Tobit models: a survey’, Journal of Econometrics, 24, 3-62.
Beck, N., J. Brüderl and M. Woywode (2008), ‘Momentum or deceleration? Theo-retical and methodological reflections on the analysis of organizational change’, Academy of Management Journal, 51(3), pp. 413-435.
Bloom, N., L. Garicano, R. Sadun, and J. Van Reenen (2009), ‘The distinct effects of information technology and communication technology on firm organization’, working paper.
Brynjolfsson, E. and L.M. Hitt (2000), ‘Beyond Computation: Information Technol-ogy, Organizational Transformation and Business Performance’, Journal of Eco-nomic Perspectives 14 (4), pp. 23-48.
Brynjolfsson, E., A. McAfee, M. Sorell, and F. Zhu (2006), ‘Scale without mass: business process replication and industry dynamics’, working paper 07-016, Harvard Business School, Boston.
Crépon, B., E. Duguet, and J. Mairesse (1998), ‘Research, innovation and productiv-ity : an econometric analysis at the firm level’, Economics of Innovation and New Technology, vol. 7, pp. 115-158.
Crespi, G., C. Criscuolo, and J. Haskel (2007), ‘Information technology, organisa-tional change and productivity growth: evidence from UK firms’, CEP Discussion Paper no. 783.
Criscuolo, C. and J. Haskel (2003), ‘Innovations and productivity growth in the UK: evidence from CIS2 and CIS3’, CeRiBA Discussion Paper EBPF03-3(10), London.
Eurostat (2008), ‘Information Society: ICT impact assessment by linking data from different sources (Final Report)’, August 2008.
Griffith, R., E. Huergo, J. Mairesse, and B. Peters (2006), ‘Innovation and produc-tivity across four European countries’, Oxford Review of Economic Policy, 22(4), 483-498.
Griliches, Z. (1979), ‘Issues in assessing the contribution of research and develop-ment to productivity growth’, Bell Journal of Economics, 10(1), 92-116.
Kox, H., G. van Leeuwen and H. van der Wiel (2007), ‘Market structure, productiv-ity and scale in European business services’, CBS Discussion Paper 7013.
Leeuwen, van G. (2008), ‘ICT, innovation and productivity’, in: Eurostat (2008) ‘Information society: ICT impact assessment by linking data from different sources’.
Leeuwen, van G. and L. Klomp (2006), ‘On the contribution of innovation to multi-factor productivity growth’, Economics of Innovation and New Technology, vol.15(4-5), pp. 367-390.
Lööf, H. and A. Heshmati (2002), ‘Knowledge capital and performance heterogene-ity’, International Journal of Production Economics, 76(1), pp. 61-85.
Mairesse, J., P. Mohnen and E. Kremp (2009), ‘The importance of R&D and inno-vation for productivity: a reexamination in light of the 2000 French Innovation Sur-vey’, mimeo.
Milgrom, P. and J. Roberts (1990), ‘The economics of modern manufacturing, tech-nology, strategy and organisations’, American Economic Review, 80, 511-528.
Murphy, M. (2002), ‘Organisational change and firm performance’, OECD Science, Technology and Industry Working Papers, 2002/14, OECD Publishing.
OECD (2009), ‘Innovation in firms: a microeconomic perspective’, forthcoming, OECD, Paris.
Parisi, M.L., F. Schiantarelli, and A. Sembenelli (2006), ‘Productivity, innovation and R&D: micro-evidence for Italy’, European Economic Review, 50(8), pp. 2037-2061.
Peters, B. (2008), ‘Product and process innovation outcome and firm performance’, paper presented at the International Atlantic Economic Conference, Warsaw, Po-land, April 10 2008, ZEW, Mannheim.
Robin, S. and J. Mairesse (2008), ‘Innovation and productivity: a firm-level analysis for French manufacturing and services using CIS3 and CIS4 data (1998-2000 and 2002-2004)’, working paper.
Roper, S., J. Du, J.H. Love (2008), ‘Modelling the innovation value chain’, Re-search Policy, 37, pp. 961-977.
Train, K. (2003), Discrete Choice Methods with Simulations. Cambridge University Press, Cambridge.