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Innovation and employment: a short update

Author

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  • Marco Vivarelli

    (Dipartimento di Politica Economica, DISCE, Università Cattolica del Sacro Cuore – UNU-MERIT, Maastricht, The Netherlands – IZA, Bonn, Germany)

Abstract

This note explores the theoretical and empirical literature on the link between innovation and employment, investigated at the macro, sectoral and micro level. While economic theory cannot provide a clear answer to the question whether new technologies are labor-saving or labor-friendly, most of the empirical studies point to a positive relationship between innovation and employment. Yet, this effect turns out to be small in magnitude and limited to product innovation and high-tech sectors, while labor saving impacts can be detected in the downstream more traditional sectors and firms.

Suggested Citation

  • Marco Vivarelli, 2022. "Innovation and employment: a short update," DISCE - Working Papers del Dipartimento di Politica Economica dipe0024, Università Cattolica del Sacro Cuore, Dipartimenti e Istituti di Scienze Economiche (DISCE).
    • Handle: RePEc:ctc:serie5:dipe0024
    as

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    File URL: http://dipartimenti.unicatt.it/politica-economica-DIPE0024.pdf
    File Function: First version, 2022
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    References listed on IDEAS

    as
    1. Mariacristina Piva & Marco Vivarelli, 2018. "Innovation, jobs, skills and tasks: a multifaceted relationship," DISCE - Quaderni del Dipartimento di Politica Economica dipe0001, Università Cattolica del Sacro Cuore, Dipartimenti e Istituti di Scienze Economiche (DISCE).
    2. Barbieri, Laura & Mussida, Chiara & Piva, Mariacristina & Vivarelli, Marco, 2019. "Testing the employment and skill impact of new technologies: A survey and some methodological issues," MERIT Working Papers 2019-032, United Nations University - Maastricht Economic and Social Research Institute on Innovation and Technology (MERIT).
    3. Montobbio, Fabio & Staccioli, Jacopo & Virgillito, Maria Enrica & Vivarelli, Marco, 2022. "Robots and the origin of their labour-saving impact," Technological Forecasting and Social Change, Elsevier, vol. 174(C).
    4. Barbieri, Laura & Mussida, Chiara & Piva, Mariacristina & Vivarelli, Marco, 2019. "Testing the Employment Impact of Automation, Robots and AI: A Survey and Some Methodological Issues," IZA Discussion Papers 12612, Institute of Labor Economics (IZA).
    5. Luigi Campiglio, 2020. "Lo Stato Sociale: da "lusso" a necessità," DISCE - Quaderni del Dipartimento di Politica Economica dipe0008, Università Cattolica del Sacro Cuore, Dipartimenti e Istituti di Scienze Economiche (DISCE).
    6. Consuelo R. Nava & Antonio Pesce & Maria Grazia Zoia, 2019. "A new proposal for the construction of a multi-period/multilateral price index," DISCE - Quaderni del Dipartimento di Politica Economica dipe0007, Università Cattolica del Sacro Cuore, Dipartimenti e Istituti di Scienze Economiche (DISCE).
    Full references (including those not matched with items on IDEAS)

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    Cited by:

    1. Charlotte Bez & Maria Enrica Virgillito, 2024. "Toxic pollution and labour markets: uncovering Europe’s left-behind places," Review of Regional Research: Jahrbuch für Regionalwissenschaft, Springer;Gesellschaft für Regionalforschung (GfR), vol. 44(3), pages 337-381, September.
    2. Nicoletta Corrocher & Daniele Moschella & Jacopo Staccioli & Marco Vivarelli, 2024. "Innovation and the labor market: theory, evidence, and challenges," Industrial and Corporate Change, Oxford University Press and the Associazione ICC, vol. 33(3), pages 519-540.
    3. Ghodsi, Mahdi & Stehrer, Robert & Barišić, Antea, 2024. "Assessing the impact of new technologies on wages and labour income shares," Technological Forecasting and Social Change, Elsevier, vol. 209(C).

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    More about this item

    Keywords

    Innovation; technological change; employment; job-creation; job-destruction; technological unemployment;
    All these keywords.

    JEL classification:

    • O33 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Technological Change: Choices and Consequences; Diffusion Processes

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