Labour flows and R&D: A quantile regression analysis

Di Cintio, Marco and Grassi, Emanuele (2015): Labour flows and R&D: A quantile regression analysis.

Abstract

Does R&D affect hirings, separations or both? Different answers to this question imply different behavioural responses of firms to innovation. Using a sample of Italian manufacturing firms, this paper explores the effects of R&D intensity on hiring, separation and churning rates. Based on quantile regression models, the results indicate that initial R&D intensity has a positive impact on subsequent hirings and churning and a negligible effect on separations. The results remain stable when the estimates are based on the two and three year averages of the labour flow rates and when we account for lagged R&D intensity, for different subperiods and for an alternative measure of the hiring, separation and churning rates.

• Item Type: MPRA Paper
• Language: English
• Keywords: Labour flows; R&D; Quantile regression
• Subjects: J - Labor and Demographic Economics > J6 - Mobility, Unemployment, Vacancies, and Immigrant Workers > J63 - Turnover ; Vacancies ; Layoffs; L - Industrial Organization > L2 - Firm Objectives, Organization, and Behavior > L25 - Firm Performance: Size, Diversification, and Scope; M - Business Administration and Business Economics ; Marketing ; Accounting ; Personnel Economics > M5 - Personnel Economics > M51 - Firm Employment Decisions ; Promotions; O - Economic Development, Innovation, Technological Change, and Growth > O3 - Innovation ; Research and Development ; Technological Change ; Intellectual Property Rights > O33 - Technological Change: Choices and Consequences ; Diffusion Processes

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