Arbeitspapier
Technological catching-up, sales dynamics and employment growth: evidence from China’s manufacturing firms
This paper investigates the microeconomics of employment dynamics, using a Chinese manufacturing firm-level dataset over the period 1998-2007. It does so in the light of a scheme of “circular and cumulative causation”, whereby firms’ heterogeneous productivity gains and sales dynamics, and innovation activities ultimately shape the patterns of employment dynamics. Using firm’s productivity growth as a proxy for process innovation, our results show that the latter correlates negatively with firm-level employment growth. Conversely, relative productivity levels, as such a general proxy for the broad technological advantages/disadvantages of each firm, do show positive effect on employment growth in the long-run through replicator-type dynamics. Moreover, firm-level demand dynamics play a significant role in driving employment growth, which more than compensate the labour-saving effect due to technological progress. Finally, and somewhat puzzlingly, the direct effects of product innovation and patenting activities on employment growth appear to be negligible.
- Language
-
Englisch
- Bibliographic citation
-
Series: GLO Discussion Paper ; No. 177
- Classification
-
Wirtschaft
Firm Behavior: Empirical Analysis
Labor Economics: General
Technological Change: Choices and Consequences; Diffusion Processes
- Subject
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Employment Growth
Demand
Product Innovation
Process Innovation
Export
China catching-up
- Event
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Geistige Schöpfung
- (who)
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Dosi, Giovanni
Yu, Xiaodan
- Event
-
Veröffentlichung
- (who)
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Global Labor Organization (GLO)
- (where)
-
Maastricht
- (when)
-
2018
- Handle
- Last update
-
10.03.2025, 11:43 AM CET
Data provider
This object is provided by:
ZBW - Deutsche Zentralbibliothek für Wirtschaftswissenschaften - Leibniz-Informationszentrum Wirtschaft. If you have any questions about the object, please contact the data provider.
ZBW - Deutsche Zentralbibliothek für Wirtschaftswissenschaften - Leibniz-Informationszentrum Wirtschaft. If you have any questions about the object, please contact the data provider.
Object type
- Arbeitspapier
Associated
- Dosi, Giovanni
- Yu, Xiaodan
- Global Labor Organization (GLO)
Time of origin
- 2018
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